Historic, Arcliive Document
Do not assume content reflects current
scientific knowledge, policies, or practices.
Prepared in the United States Department o£ Agriculture for the purpose of presenting all shades of opinion as
reflected in the press on matters aliecting agriculture, particularly In its economic aspects. Responsibility, approval
or disapproval, for views and opinions quoted is expressly disclsimed. The intent is to reflect accurately the
news of importance.
Vol. X7III, No. 41 Section 1 August 18, 1925.
COFFEE An Associated Press dispatch to-day says: «A niarked reduction
CONSUMPTION in consumption of coffee in the United States and a stimulation to
its production in all tropical areas were set forth today as the
chief effects during the last year of what the Commerce Department
termed 'the large artificial increase in price resulting from the Brazilian valori-
zation scheme,* The cost to the American consigner of the increase in price was
fixed "by the department as $82»300,000. A summary of the situation accompanying
the figures omitted mention of attempts in the American coffee trade to organize .-
against the hi^er prices Brazilian loans have recently been sought in the
United States, and the action has "been accompanied by frequent reports that Ameri-
can "bankers were seeking to obtain some alteration in the valorization plan upon
which Brazilian coffee producers have operated. It has also been suggested that the
Comnerce Department might have influenced the American banking group in this pbsir-
tion, but no official confiimation of ,such reports has been forthcoming. All of
the Brazilian valorization operations depend on the maintenance of fixed prices
through Government purchase of coffee surplus. "
INCOME An editorial in The New York Times to-day says: "The average
RESEARCH person in the United States doubled his income in the twelve years
between 1909 and 1921, according to a study by the National Bureau
of Economic Research. Even allowing for the increased price of
commodities, the purchasing power of his income has materially grown—although much
less in proportion. The bureau's findings are a convincing demonstration of Amer- ^
ica's present economic well-being. The most disquieting feature of past income
data compiled by economists was the actual decline in the purchasing power of the
American workingman's wages prior to the war Since the war, labor's position in
the economic world has materially been bettered, although not in the same ratio as
that of capital. The purchasing power of the nation's income, the bureau^s figures
show, increased 29 per cent between 1909 and 1921 — in spite of the fact that the
last year was one of extreme business depression; while the average wage earner's
purchasing power increased about 8 per cent. Economic forces operating in the
United States at the present time evidently tend to effect a more general distribu-
tion of the fruits of prosperity than they did before the war — a decidedly more
healthy situation. A classification of these factors, could it actually be made,
would undoubtedly include restriction of immigration, with its curtailment of the
labor supply; the success of labor unions in keeping wages at relatively high levels;
greater technical efficiency of production which allows higher wages without propor-
tionately increased prices, and a growiiag realization among employers that good
times depend not only on the rate of dividends but also on the amount of money
^hich the laboring masses have to spend."
Vol. mil, No. 41
- 2 -
August 18, 1925.
Section 2
Farm An editorial in The Earoker-Farmer for Ai^gust, 1925, says: «The
Efficiency farm may properly be likened to a factory. Its rriccess as a "business
depends upon efficiency, volane of taxable products, and sound manage-
ment. Farm management studies conducted by the agricultural colleges
in the various States show astonishing differences in net returns in the
same farming community. In analy?;i-i.g these results to discover the
reasons for the differences, it is fc\ind that some farmers by using
improved seeds and employing better cultural methods obtain two and
three times the yield of crops that others do; There are cows that pro-
duce twice as much beef as others and reouire less feed per pound of bee:
produced. There are milch cows that produce two, three, and not infre-
quently five times as much milk as ethers. The same differences hold
true in regard to the production of pork, mirfcion, wool, poultiy, eggs,
and other products. These facts show why some of our farms are profit-
able and others not. ITo 3ther type of business could have sucn differ-
ences in productive eff iciencjr and stiQ have all the fii'ms stay in busi-
ness. For can farming long withstand these inefficient methods. There
are some farmers who need to reorganize their business. Tb.is may call
for loans from the bank. Before granting suoh a loan, however, the
banker should assure himself that the loan is justified, and that the
farmer is a competent manager. If the farmer will keep accovncs , or
even present his banker with a financial statement, it will >e compara-
tively easy to determine the trend of the farm business, perhaps there
is no greater service that a banlcer can render to agriculture than to
insist on a financial statement from the farmer when an application is
made for a loan, and insist on other statements when the note is extend-
ed or renewed and. if possible, at interest paying dates. This will not
only protect the bank, but will protect the farmer and set him to think-
ing along lines that will make his farming more efficient."
R^"bber An editorial in the New York Journal of Commerce for August 14,
Situation says; "According to the head of one of the principal rubber companies
the crisis in the rubber situation is past. He adds, however, that the
problem 'is not only big but an intricate one and will require constant-
interchange of opinion in order to establish a sound policy designed to
stabilize the price of crude material.' Probably the most fundamental
matter to be taken in hand is that of. harmonizing production and consnmp-
tion upon some recognized basis. The plans suggested in Washington,
which apparently contemplate a trade war, with new areas brought under
cultivation and a general effort to club the producer into cutting prices,
do not go at the matter scientifically. Neither is there much to be sadd
for a Government supervised buying agency which would engage in a duel
with the combined producers or sellers. It is to the interest of the
producers to establish a regular and profitable market but to have the
price sufficiently low to eliminate undue ten^jtation to overproduction.
For most consnmers it is not worth while to go into the business of rais-
ing rubber. The situation calls for a general business adjustment and
understanding s.11 around through fair-minded negotiation. The more the
Grovernment can be kept out of it the better."
Vol. XVIII, No. 41
~ 3 -
August 18. 1925.
"The "b-aying po77er of the South Dakota farmers ' money, obtained hy
the sale of farm products during July, was once more eq'oal to its pre-
war value. This is the first time since 1919 that one dollar's worth of
South Dakota farm products could be exchanged for one dollar's worth of
non-agricultural products, according to the depariraent of farm economics
at the South Dakota State college. The index number of prices paid
locally in South Dakota for farm products in July rose nine points, while
the index number of prices p8,id by farmers for non- agricultural products
rose only two points. This nine point rise is exceptional, when the
fact, as brought out by the index series, is recognized that t}ie aver-
age the last ten years shows no rise at. all in the month of July."
(Weekly Kansas City Star, Aug- 12.)
Sec': Ton 3
Department of An editorial in The Southwestern Miller for August 11, says;
Agriculture"Demands upon the Department of Agriculture at Washington for revisions
in its crop reporting plans are growing to an extent that is attracting
wide notice. Significant developments of the past week included the
issuance of statements by the Millers* National Federation futures com-
mittee and a member of the New York Cotton Exchange on their ideas of
changes that ought to be put into effect. These were preceded by rather
sharp criticisms from cotton mill interests against the present methods
of reporting cotton prospects, especially the more numerous estimates
on production. The Department of Agriculture has already taken formal
notice of the complaints, but has announced no plans for changes, in-
dicating instead that its cotton reporting is being done in conformity
with legislation enacted by Congress The most pressing demands for
changes are being made by members of the cotton industry. Their attitude
is interesting to millers because it covers the experiments of the De-
partment of Agric-uiture in compiling semi-monthly cotton crop reports
during the growing season. This the cotton trade finds objectionable.
•Far from being helpful and constructive, the present system is possibly
demoralizing in its attempt to do the impossible by promulgating a semi-
monthly crop estimate, particularly from the early season condition, ' /
declared Edwaixi E- Bartlett, Jr., former head of the New York Cotton
Exchange late last week. 'That this amounts to nothing more than the
wildest kind of a guess has been amply demonstrated in the past two
seasons. We believe the trade would welcome the elimination of the early
season crop estimates and a return to the old system of monthly condi-
tion reports, with the elaboration of weekly reports covering weather
conditions and progress of the crop.' When the Department of Agriculture
inaugurated the semi-monthly crop estimates on cotton, the opinion was
expressed that the grain and milling trade would benefit from a similar
enlargement of the grain crop reporting service. The statement of the
head of the New York Cotton Exchange, which is along lines already
voiced by cotton mill operators, raises a serious question as to the
success of the semi-monthly estimates and probably will tend to bring
about the postponement if not the abandonment of consideration of the
feasibility of issuing more grain forecasts. It is not the intention of
the millers' comrtiittee on wheat futures and should not be the intention
of any trade group to blame the crop reporting activities of the Depart-
ment of Agriculture for the unsatisfactory condition of futures deal-
ings in recent months. With all of the criticism levied against the
Vol. XVIII. No. 41
- 4 _
August 18, 1925
crop reporting board of the Department of Agriculture , the statistics
of this Federal agency still stand out as the most widely accepted
figures. The Federal organization should rank as the highest authority-
It should endeavor to develop greater accuracy to remove causes of
criticism. Greatest progress will he made hy it with grain men, millers
and cotton interests cooperating harmoniously to assure the most depend-
able information."
Section 4
August 17; MARKET QUOTATIONS
Farm Products Chicago hog prices closed at $13-95 for the top and $12-10 to
; $13.60 for the hulk. MediTjm and good beef steers $?.25 to $14.25; but-
cher cows and heifers $3.85 to $13-25; feeder steers $6 to $9; light
'and medium weight veal calves $11.25 to $13.75; fat lambs $13r.75 to $15.-
25; feeding lambs $14 to $15.50; yearlings $9,50 to $12.50; fat ewes
$4,50 to $8-25.
potatoes declined sharply. New Jersey sacked Irish Cobblers
ranged 50^^ to $1 lower at $2.35 to $3.15 per 100 lbs, in easi.ern markets
and $2.45 to $2.50 f>o.b. New York and Massachusetts Yellow onions 25^
to $1 lower at $2-50 to $3.50 per 100 lb. sack. New Jersey Elberfca
peaches held fairly steady at $2 to $3 per six basket carrier and bushel
basket in New York City. North Carolina and South Carolina Tvom Watson
; watermelons 24-30 lb. average, held steady at $200 to $425 bulk per car
• in terminal markets. F.o.b. trading in 26-30 lb. Thurmond Grays at $90
to $165 per carload, at Macon, Ga-
Closing prices on 92 score butter: New York 42 3/4^; Chicago 41^;
Philadelphia 43 1/2;^; Boston 43 ll2(p.
Grain prices quoted August 17: No. 2 red winter Chicago $1.63-
ll?4', St. Louis $1,70 to $1.73; Kansas City $1.68 to $1.70. No. 2 hard
winter Chicago $1.58 to $1.60 l/4; St. Louis $1.52 to $1.53^; Kansas
City $1.51 to $1.70. No. 2 mixed com Chicago $1.05 l/2 to $1.06;
Kansas City $1. No. 2 yellow corn Chicago $1.05 to $1.07; St. Louis
$1.06 to $1.06 1/2; Kansas City $1-03 l/2. No. 3 yellow corn Chicago
$1-05 to $1.05 1/2. No. 3 white corn Chicago $1,04 l/2 to $1.05. No. 3
white oats Chicago 38 3/4 to 41 l/2(^; St. Louis 40^; No. 2 white oats
Kansas City 40 zj^.
Average price of Middling spot cotton in 10 designated markets
advajiced 3 points, closing at 23.39^ per lb. New York October fu.ture
contracts advanced 3 points, closing at 23.38^, (Prepared by Bu. of '
Agr. Econ.)
Industrials and Average closing price
Railroads 20 Industrials^
20 E-R. stocks
(Wall St. Jour., Aug. 18.)
Aug. 17 Aug. 15 Aug. 16, 1924.
m.56 i40.20 504,63
103-28 10X.99 92.10
DAILY DIGEST
Prepared in the United States Department of Agriculture for the purpose of presenting all shades of opinion as
reflected in the press on matters affecting agriculture, particularly in its economic aspects. Responsibility, approval
or disapproval, for views and opinions quoted is expressly disclaimed. The intent is to reflect accurately the
news of importance.
Vol. XVI n, No. 42 Section 1 August 19. 1925.
LAUD BAM A New York dispatch to the press to-day states that negotia-
MERGER tions have "been completed for the ahsorption of the Columbus Joint
Stock Land Bank by the Virginian Joint Stock Land Bank, operating
in Ohio and West Virginia, The merger, which is the second for the
Virginian in six months, will increase its resources by $5,000,000. The capital
stock is being increased from $700,000 to $1,000,000, offering of which will be made
early next month. The present dividend rate is 10 per cent and is eaipected to be
maintained.
TREASURY "Announcement of a new offering of United States Treasury
LOAU securities is expected to be made about Sept. 1. The amount and
character of the offering are not yet known, but the Federal Reserve
Bank of New York has served preliminary notice on member banks that
the issue is coming and asks that the banks file promptly any subscriptions for
themselves or their customers as soon as the terns are announced. It is expected
in Wall Street that the new issue will be dated Sept. 15, on which date a tax in-'
stalment falls due." (N. Y. Times, Aug. 19.)
CROP COKDITIONS A Pierre, S. D. dispatch to the press to-day states that the
harvesting of an imtrienaa crop of small grain in South Dakota will
clear up the liabilities of many farmers of the State and aid in the
liquidation of war indebtedness developed by the fact that South Dakota went
farther in the way of boom prices than did any other State of the Union during the
war-boom days .
A New Orleans dispatch to the press to-day states that crop prospects of
Louisiana were never better. The figures tell a story of remarkable prosperity in
this section, a prosperity in which the farmers will share as they never shared be-
fore. In virtually all the major crops the indicated production this year is con-
siderably heavier than last year, and the price trend is generally upward, except
in the case of sugar. But the production of sugar, according to the present crop
condition, will be so much heavier than it has been for several years that the plant-
ers who handled themselves well from a financial standpoint should be able to make
some money. The South' s cotton crop during the 1924-25 season was worth $85,000,000
mote to that section than its 1923-24 crop, according to the figures of Henry G.
Hester, secretary of the New Orleans Cotton Exchange.
"The financial district expects announcement this week of . &
merger of some of the largest baking companies in Canada, located in
Montreal, Toronto, Winnipeg and other cities. Most of the companies
involved are privately owned, but the Canada Bread Co. has its stock
listed on the Montreal and Toronto exchanges." (The Washington Post,
BAKING
MERGER IN
CANADA
August. 19.)
Vol. XVIII, No. 42
- 2 -
August 19, 1925
Section 2
Agricultural An editorial in The Price Current-Grain Reporter for Aiag- 12
J Conditions says: "If we are to "believe all of the things being told us these days
r by some of our »friend-of-the- farmer' speakers, this country is going to
the bad as fast as it can and about the only remedy that will avail is
to turn the farmer loose in the Federal treasury. For example: 'The
farmer's purchasing power is from 30 to 50 per cent less than that of
any other group, 'or 'agriculture is as nearly bankrupt as any institution
well can be, ' or 'there are about a million too many farmers and in
i order to adjust conditions they would have to quit work for about five
years.' Unquestionably a lot of famers are 'hard up,* "but so also
; are a lot of merchants, laborers, mechanics, etc., and that condition
j is quite liable to continue until the dawn of the millennium. As a
! class, however, we are confident the farmer resents this continued piti-
I f ul tale of his financial condition, and why should he not resent it.
Just listen to this: 'Illinois farmers realized 5 per cent on a con-
servative valuation of all of their farm property and still had an av-
erage of $1,163 each left to pay them for their own labor and manage-
ment in 1924.' Eere is another: »$69,000,000 was paid to farmers of
Minnesota and the near Northwest during the first six months of this
year on cattle they marketed just at the South St- Pa\il stockyards.*
And here is another: 'Bank deposits in Minnesota and North Dakota in-
creased $127,000,000 as one result of the 1924 crop.' We could continue
indefinitely with facts of similar import, for they are coming to us in
great voltone and from practically every farming section of the country.
Our readers, however, do not need more evidence, for they know that as
a general proposition the farmer has 'come hack.' To the man who looks
through blue glasses, the whole world is blue and our hope is that a
lot of these reformers may throw away their blue glasses, so that they
may see what a fine world and what a fine country we are all living in,
and so that they may catch a vision of the flood of returning prosperity
that has already reached the home of the average American farmer."
An editorial in The New York Times for August 14 says* "To the
question which Arthur N. pack, an American authority on forestry, puts
to himself in the current number of The Farm Journal, 'Can Europe Teach
Us Forestry?' his specific answer is that what America can learn from
Europe right away is 'patience.' This sounds at first like a paradoxic-
al counsel to learn at once something that in the nature of things re-
quires long years of waiting In France nature's cycle of repro-
duction takes often a century, sometimes even two centuries. By her
lumbermen, who are her foresters, the seedlings are treated with the
care of children. With advancing years they are given more room,
through selective cutting, until the cycle ends with the comin-g down of
the 'last mother trees.' Then the younger forest begins the new cycle
with its seedlings. While, as Mr. Pack makes clear, the system of
fixed cycles cannot be applied to our own forests, which contain trees
of all ages, it is possible to reach the same result hy an adaptation
of this patient plan for promoting natural regeneration. In the Black
Forest in Germany, where the trees are of varying age as in the Ameri-
can forests, this process is aided with such scientific skill that in
one area there is as much timber growing as there was 700 years ago. In
Saxony, on the other hand, where nature's cycle has been shortened and
Forest
Policy
Vol. XVIII, No. 42
- 3 -
AugTist 19, 1925.
•whole areas cleared and thickly replanted, though the immediate yield
was increased, the soil has become ' impoverished , with the consequence
that the growth has been diminished and the quality of the wood has
fallen off seriously. We must not, however, be patient in beginning
this patient policy. If we don't begin at once or soon, all the patience
in the world will not give us continuing forests. Protection a^inst
fire is, of course, of the first importance. If forest fire could be
eliminated, it is said on the highest authority that » two- thirds of our
forest problems would be automatically solved, ' But after that only
; patient assistance of natural regeneration will insure perpetual forests,
^ They must be pemitted to renew themselves. We must be quick about it,
• else the. 'baldness' visited upon a certain ancient city, now a ruin
! upon a treeless plain, will come ^xpon our land. Prompt action in adopt-
' ing a forest policy and then patience!"
Ocean An editorial in The Southwestern Miller for Aug. 11 says; "Corn-
Freight menting on the editorial, 'Kelp from Shipping Board,' in these columns
Hates a week ago, a miller writes: 'Every reduction of a cent in the handling
cost of our wheat and flour counts just that much in facilitating esport
business, and we would certainly like to see the ocean freight rates re-
duced. A reduction to 18 cents in the rate to Holland would unquestion-
ably result in a much larger tonns.ge for steamship lines than they are
getting at present from the current rates on flour.' This statement ex-
presses the views of all millers engaged in the export business. In
urging a lowering of the ocean rates, all the exporting millers are
prompted alone by their own desires for a maximum trade with Europe
under existing conditions. TA lowering of the ocean rates would help
the export flour business, it is true, but the benefits would not be felt
by the exporting millers alone. There is a much wider discount to-day
than a year ago on export grades under patents. The domestic buyers
of flour must pay relatively more on the basis of wheat prices than at
this time last year because the export grades are not moving to the
European buyers in healthy volume. A larger export trade would therefore
react favorably upon the domestic buyers of flour and upon the produc-
ers of wheat even if it meant only freer buying of the export grades
alone . «
Rubber "The value of rubber manufactures exported from the United States
Exports during the six months ended June 30— $23,857,173 — exceeds that for the
same period in any year since the peak of 1920. The figure given is
an increase of more than 20 per cent over the value of rubber products
exported in the first six months of 1924: . The increase is chiefly due
to a greater volume of exports, but in a measure is also the result of
the higher "unit value of the various commodities. Whether this in-
crease presages a permanent improvement in the share of American
manufacturers in the world trade in rubber products is s&id by Com-
merce reports to be problematical. The rise in the price of crude
inbber and the resulting increase in the price of rubber products may
have influenced foreign dealers toward overstocking, which would be re-
flected accordingly in a falling off of imports in the latter part of tls
year. On the other hand, the improvement in world economic conditions
and the general price increases in the leading consuming countries no
doubt will place American manufacturers in a more favorable competitive
position." (U- Y- Times, Aug. 17.)
Vol. JCViTi, No. 42
- 4 -
August 19, 1925.
Section 3 ;
¥A?ZI:" OjOTATIOHS
Jarm Products Aug^ust 16: Chicago hog prices closed at |13,60 for the top and
$11.70 to $13.40 for the bulk; medium and good beef steers $7 to $13.75;
"butcher cows and heifers $3.75 to $12.75; feeder steers $6 to $9; light
and medim weight veal calves $11.25 to $14; fat lambs $13.75 to $15.25;
feeding lambs $14 to $15.50; yearlings $9.50 to $12.50; fat ewes $4.50
to $8.25.
New Jersey sacked Irish Cobblers ranged $2.50-$3 per hundred
pounds in eastern markets, $2.15-$2.50 f.o.b. Giants sold at $2.50-
$2.60 in Baltimore. Georgia and South Carolina Thurmond and Irish
Grays 22-30 pound average ranged $225-$375 bulk per car in leading
eastern markets. Virginia and Maryland stock brought 25^-30{i each in
Baltimore. Virginia and Delaware Elbertas, crates and bushel baskets
ranged $2.50-$3 in eastern consuming centers. New Jersey Elbertas
$2.25-$2.50 in New York. New York Yellow onions ranged $2.40-$3.25
per 100 pound sack in eastern markets, Massachusetts yellows $2-50-
$2.75 in New York City, $3-$3.50 other eastern markets. Maryland and
Delaware Salmon Tints and Green Meat contaloupes ranged 75^~$1.50 per
standard 45 ^s in leading eastern citise.
Closine; td rices on 92 score butter: Chicago 41 3/4^; New York
43j^i .
Grain prices quoted Aug. 18: No. 1 dark northern Minneapolis
$1.55-$1.70. No. 2 red winter Chicago $1.66 l/2; St. Louis $1.72-
$1.74; Kansas City $1.70-$1.71. No. 2 hard winter Chicago $1.60 1/2-
$1.63 1/4; St. Louis $1.62-$1.62 l/2; Kansas City $1.62-$1.70. No. 2
mixed com Chicago $1.05 l/4; Kansas City 99 l/2^-$1.00. No. 2 yellow
com Chicago $1.05 l/2"$l-06; St. Louis $1.05; Kansas City $1.01-
$1.02 1/2. No. 3 yellow com Minneapolis $1.04 l/4-$1.05 l/4. No. 3
white corn Chicago $1.04-$1.04 I/2. Nq- 3 white oats Chicago 39-40 3/4
cents; St. Louis 39 3/4~40 cents; Minneapolis 36 1/2-36 3/4 cents. No.
2 white oats Kansas City 40 1/2-41 I/2 cents.
Average price of Middling spot cotton in 10 designated spot
markets declined 9 points, closing at 23.30^ per lb. October future
contracts on the New York Cotton Exchange declined 5 points, closing
at 23.33{^. (Prepared by Bu. of Agr. Econ.)
Industrials and Average closing price Aug. 18, Aug. 17, Aug. 18, 1924.
Railroads 20 Industrials 142.60 141.56 104.99
20 R.B. stocks 103.30 103.28 92-65
(Wall St. Jour., Aug. 19.)
Prepared in the United States Department of Agriculture for the purpose of presenting all shades of opinion &a
reflected in the press on matters affecting agricultnrc, particularly iu its economic aspects. Responsibility, approval
or disapproval, for vie^vs and opinions quoted is expressly disclsimcd. The intent is to reflect accurately the
news of importance.
Vol. XVIII, Ho. 43 Section 1 August 20, 1925
RUBBER IN An Akron, Ohio, dispatch to the press to-day says: "Nego-
LIBERIA tiations which have he en in progress for the last six months have
been virtioally completed between Harvey S, Firestone, president of
the Firestone Tire and Euhber Company, and the Liberian Government
for the leasing of 1,000,000 acres of rubber plantation land in the
African Republic. Edwin Barclay, Secretary of State of Liberia, has been in Akron
to work out final details of the transaction. He arranged for a long-time lease
on the property. This is expected to be approved as soon as he returns to Liberia.
After receiving assurance from Secretary Barclay that officials of Liberia were
ready to approve his proposition, Mr. Firestone announced that he will place under
cultivation the entire million-acrs tract. He is planning to send a large force
of men there to prepare the la.nd for growing rubber trees. This marks the first
effort of an American manufacturer to grow rubber on such a large scale, although
the question has been agitated for years Development of the huge rubber-pro-
ducing resources of Liberia by the Akron manufacturer is regarded as another blow
against British rubber monopoly. It is learned on good avi;hority here that a
$100,000,000 corporation will shortly be formed to operate the Liberian plantation
on a gigantic scale, which will assure American manufacturers of an adequate future
supply of rubber. Mr. Firestone predicts that Akron will not only be the center of
the manufacturing world, but will become also the headquarters of the rubber-grow-
ing industry of America. This would be brought about, he indicated, through the
formation of a mammoth corporation, designed to grow rubber in foreign countries,
financed by American capital. 'The National Automobile Chamber of Commerce esti-
mates that 1,500,000 more planted acres of rubber trees are needed, if the supply
is to meet the demand within the next few years, f he said,"
LIVESTOCK An Associated Press dispatch from Washington to-day says:
RATES "Proposed new schedules cancelling through joint rates on livestock
from Texas points to Cincinnati, Indianapolis, Louisville and certain
other related points east of the Mississippi, were ordered suspended
by the Interstate Commerce Commission yesterday from August 20 to
December 18. The proposals would have resulted in the application of class or
combination rates which would have increased the transportation charges from 3 to
13 cents per hundred pounds. The commission will hold hearings on the fairness of
the new schedules, which involve all the Southwestern carriers. Protest against
them was entered by the Southwestern Cattle Raisers' Association, of Fort Worth,
the Southecistem Livestock Association, of Louisville, Ky., and the Louisville
Board of Trade."
L
! Vol. XVIII, No. 43
August 20, 1925
Section 2
Farmer An editorial in the Kansas City Daily Drovers Telegram for Augr
Prosperity 13 cays: "Nearly everybody has "been busy saving the farmer for several
years. Most of this saving grace has come from Washington, or at least
the prayers have nearly all asked that it flow from that fountain.
Various relief measures have been proposed, but very few of them have had
any effect. Now the patient threatens to get well in spite of the
doctors. He may make complete recovery from his ills if left alone. «...
Just lately representatives of 350,000 milk producers unanimously asked
the President and Congress to help the farmers by leaving them alone
without any more laws. Other farm organizations have expressed similar
views during the last year. In the mean time the patient, the American
farmer, is feeling pretty well, thank you. Fourteen dollar hogs, dollar
.corn and $15 steers are having quite a tonic effect. And the delightful
j fragrance from the bloom of a three-billion-bushel corn crop is doing
more than all the flowers and encouraging messages Miss Columbia could
send."
Pood An editorial in The New York Times for Aug. 18 says: "puzzlement
ReSeaxth tas caused by the outcome of a recent referendum on the favorite dishes
of New York's restaurant patrons. Corned beef and cabbage was the Abou
bea Adhem that led all the rest by a margin hardly in agreement with
ordinary observation Beef as an item in the American diet is re-
ceding into the background. Professor East in last Sunday* s Times ex-
plained it on the ground of our increasing population, our decreasing
pasturage and consequently rising prices. The beef animal «is giving
way to the metabolic efficiency of the pig-* This is one of the kindest
things that have ever been said about the pig, but it is true. The
official figures are corroborative. In the year 1910 the per capita con-
STanption of beef in the United States was nearly 72 pounds. In 1923
it was 62.5 pounds. But in the same period the consumption of pork, ex-
clusive of lard, had risen from 60 to 91.4 pounds per capita. The pig
pen is mightier than the horde of the Western range. This marked up-
swing in the consumption of pork, however, dictates caution with regard
to another statement of Professor East's. He predicts that animal foods
as a whole will tend to disappear unless our population is stabilized.
So far the process has not set in. In the year 1910 the per capita
consumption of beef, veal, mutton and pork was 147 pounds. In 1923
it had risen to 167 pounds. Against a decline of 10 pounds in beef
there was a gain of 30 pounds in pork. Nor can we approve Professor
East's slighting omission of the great American hen. As an egg producer
she has won recognition; but her flesh is no mean factor in the national
diet. In 1923 New York City received in the form of live poultry alone
nearly 150.000,000 pounds. If we add the«cold-storage variety we are
almost within striking distance of the 350,000,000 pounds of beef which
the city called for in the same year, and not very far behind the 450,
000,000 pounds of poik. Add 120,000,000 pounds of eggs and it is likely
that the products of the fowl are New York's faVorite form of animal
food. Topping all, of course, and almost equal to the total of all
forms of meat, are the 1,600,000,000 pounds of milk consumed in the city
in a single year. It is not yet demonstrated that the pig and the hen
are doomed to follow the steer into the eternities, professor East
estimates that it takes eight times as much land to support human life
on a purely animal diet as on one purely vegetable. The hi^er invest-
ment may be justified by correspondingly higher results. It is not so
much a question of supporting human life as of producing human energy
Vol. XVIII, No> 43 - 3 ~ August 20. 1925.
for the work of the world; and it seems to be an established fact that
the meat-eating races work harder than the others. The British worker,
if trade union regulations are left out of the reckoning, produces more
than his Continental competitor. The American, who eats more meat than
the Englishman, produces more than the Englishman. If the difference
can be traced to diet, the triuiDph of the vegetable in Anglo-Saxon
countries may be delayed. Bookkeeping and long habit will assert them-
selves, and rather than give up their fleshpots the English-speaking
races may bethink themselves of Stefansson»s millions of square miles
in Northern Canada crying aloud to be turned into reindeer ranges for
feeding the world."
Railroad An editorial in The Price Current-Grain Reporter for Aug. 12
Earnings says; "Monthly st^-tements of earnings of the various railroads are
: especially interesting at this time. They are almost universally im-
■proving, showing gross revenues of large proportions. Part of this, •
however, is brought about through unusually low tourist summer rates
which in many localities have been arranged on a new scheme of special
trains, without Pullmans running out on a Saturday night and back on
the following Sunday night. This and other passenger traffic novelties
is, so it is said, showing a profit although such rates are remarkably
low. It is a part of the plan of natural competitive transportation
which is satisfactorily working out the railroad situation and we hope
j will be continued unh^ampered by Federal control or further talk of
forced rail consolidations."
An editorial in The Grain Growers' Guide (Winnipeg) for Aug.
12 says: "The policy of restriction of output of rubber, which has been
supported by a coalition, a Conservative and a Labor Government in
Great Britain, is of some interest as an experiment to prevent economic
distress among certain primary producers by deliberate control of the
market. About 50 per cent of the world's rubber supply is grown in
British colonies, and represents an investment of approximately $400,-
000,000 Thus for three years rubber production in the British
colonies has been under control, and export has been adjusted in a way
that was calculated to just supply the demands of the market at what
was considered to be a fair price for the producers, that is the Brit-
ish capitalists who had money invested in rubber plantations. Rubber,
however, is also produced in the Dutch colonies; about 35 per cent of
the world^s supply is grown in the Dutch East Indies. An effort was
made to induce the Dutch rubber interests to come into the scheme for
control, but without success. The consequence has been that the Dutch
producers have profited by the British restrictions, and they have in-v-.
creased their production and thus diminished the advantage the produc-
ers in the British colonies gained by the restrictions they adopted.
The first result of the restrictions was a rapid and heavy rise in the
price of rubber. Then there was a fall, but owing, it is said, to the
introduction of balloon tires for automobiles, the demand for rubber
has greatly increased, and although the rubber output has steadily
increased, rubber manufacturers want the restrictions removed so as
to bring into the market the whole output available, and thus either
reduce prices or increase their own profits. There is no doubt the
rubber interests of the British colonies will bring all the pressure
they can command upon the British Government to continue the restric-
Rubber
Restric-
tions
Vol. XVIII, No. .43
- 4
A-ugiast 20, 1925.
tions, and they still hope to "bring their Dutch competitors into the
scheme for regulating supply to demand so as to prevent a disastrous
slimp in prices through over-production- The experiment and the situa-
tion are interesting as an indication of the changing attitude with^
respect to production, marketing and price control, and of the diffi-
culty in applying restriction schemes, when a section of the producers
can see an advantage for themselves hy refusing to join in them. It is
o'bvious that if restriction continues In the Bi'itish colonies, the
Dutch producers can not only get the "better price, hut larger markets."
Section 3 j
MAEKET qUOTATIOUS
Farm Products August 19: Chicago hog prices closed at $13.30 for the top and
$11.40 to $13.10 for the hulk. Medium and good heef steers $7 to
$13,50: butcher cows and heifers $3.75 to $12-50; feeder steers $5 to
$9; light and medium weight veal calves $11 to $13-75. ?at lamhs
$13.75 to $15.25; feeding lamhs $14 to $15.50; yearlings $9»50 to $12.50;
fat ewes $4.50 to $8.25.
Potato prices showed a decline of 50^-75^^ in eastern markets,
new Jersey sacked Irish Cohhlers ranged $2.50-$2.85 per hundred poinds
in eastern consuming centers, and $2.45-$2.55 f.o.h. central and north-
em Hew Jersey points. Georgia and North Carolina peaches sold 25^-50^ •
lower on the New York market ranging $2-$2-50 per six haske'O carrier.
Watermelon prices barely steady- Georgia and South Carolina Thurmond
Grays 22-30 pound average sold at $175-^$375 in Eastern cities. Maryland
and Delaware Salmon Tints and Green Meat cantaloupes show a decline.
Standard 45 ranged 75^-$l,25 in Eastern markets. California Salmon
Tints from Turlock section 3454 50(^"$l lower ranging $1.25-$2.25 in
eastern cities.
Closing prices on 92 score butter today: New York 43 l/2^^;
Chicago 41 3/4^; Philadelphia 44^; Boston 44^.
Grain prices quoted August 19: No, 1 dark northern Minneapolis
$1.60-$1.75. No. 2 red winter St, Louis $1.76-$1.78; Kansas City $1-71-
$1.72. No. 2 hard winter Chicago $1.61 l/2-$1.62; St, Louis $1.64;
Kansas City $1,63-$1.72. No. 2 mixed com Chicago $1.07"$1.07 l/4; St.
Louis $1.05 1/2; Kansas City $1.01 l/4-$1.02. No. 2 yellow com Chicago
$1.07 l/2-$1.08 1/4; St. Louis $1.06 l/2; Kansas City $1.03- No. 3
yellow corn Chicago $1-06 l/2"$1.07 3/4; Minneapolis $1.05 3/4-$1.06-
3/4. Nc. 3 white com Chicago $1 .05 3/4~$1.06 i/2. No. 3 white oats
Chicago 40 1/4-41 cents; Minneapolis 37 3/4-38 cents; St. Louis 40 1/2
cents. No. 2 white oats Kansas City 41-41 I/2 cents.
Average price of Middling spot cotton in 10 designated spot
markets advanced 4 points, closing at 23.34^ per lb. New York October
futiire contracts were unchanged, closing at 23.33jf. (Prepared by Bu.
of 4gr. Econ.)
Aug. 19 Aug. 18 Aiig- 19. 1924.
141.82 142.60 105.38
102.96 103. 3& 92.10
(Wall St. Jour., Aug. 20.)
Industrials and Average closing price
Railroads 20 Industrials
20 R.E, stocks
il
I
I
DAILY DIGEST
Prepared in the United States Department of Agriculture for the purpose of presenting all shades of opinion as
reflected in the press on matters affecting agriculture, pDrticuIarly In its economic aspects. Reeponsibility, approval
or disapproval, for views and opinions quoted is expressly disclaimed. The intent is to reflect accurately the
news of importance.
Vol. rnil. No. 44 Section 1 August 21, 1925
FAEM A Minneapolis dispatch to the press to-day says; "A plan
SALES has been worked out by bankers and land men of the Twin Cities to
market, through extensive advertising, scores of farms which in the
last three years have been taken over by rural banks of the North-
west- Life insurance companies and farm loan agencies also are interested in the
move. Through an aggressive selling organization centered in the Twin Cities, in
charge of experienced land men, it is hoped to find buyers for these farms, which
are among the so-called * frozen assets* of the banks. It is believed that one
large central selling agency will have better success in finding buyers than the
individual banks. If the plan works out as expected it not only will', ^thaw' the
banks' assets, but will be the means of putting hundreds of idle farms back into
operation. The favorable crop this year, on the heels of the bumper 1924 production
in the Northwest, has revived interest in farming, and thousands of former farmers
who drifted into the cities during the depression are now ready to go back to the
co\mtry. There is more activity in fam land sales in the Northwest now than any
time since the collapse of the boom four years ago. prices have advanced some."
PHILI'PPINE An Associated Press dispatch from New York to-day says: "The
RUBBER Philippine Islands can produce all the rubber needed in the United
States, John W. Haussermann, vice president of the American Chamber
of Commerce of the Philippine Islands, said to-day. Drawing upon
the islands for this count ry^s rubber supply, he asserted, would result in a large
saving to the public through lower costs. Mr. Haussemann characterized » extremely
conservative' the report issued last week by the United States Department of
Commerce estimating that 1,500,000 acres were available for the growth of rubber
in the Philippines on the scale of 70,000 tons of production annually. »This
report,* said Mr. Haussermann, 'is based, because of the limited labor supply, on
production as worked over the only 500,000 acres, or one- third of the acres avail-
able. On this basis, however, the surveyed lands of proved rubber production alone
can eventually produce 210,000 tons annually, or more than two-thirds of America's
present imports in crude ruhber.
^^^E An Associated Press dispatch from Denver to-day says: "Urging
PROTECTION that America look toward the establishment of a game protective sys-
tem similar in many respects to that prevailing in Europe, Dr. T. G-.
Pearson of New York, President of the National Association of
Audubon Societies, to-day told delegates to the International Asso-
ciation of Game, Fish and Conservation Commissioners of the advantages of the
European system. In Europe, he said, game is private property, with the result that
land owners are conscientious in its protection. In America game is considered
public property with the result that it is necessary to protect it by laws. The
European system, he said, results in a great abundance of game, because it is pro-
fitable to land owners to protect. In this .country land owners are inclined
rather to discourage propagation of game on their lands."
Vol. XV'III, T.o, 41-
- 2 -
August 21, 192gi
Section 2
Business "Business conditions are practically unchanged from 30 days ago,
Conditions according to an analysis by the National Bank of Coirmerce in New
York The slight dcirTir/ard movement of hond prices and the firmer
money rates of the las-c fer xveeks is looked upon as largely seasonal,
V7ith a further firming in money as a natural consequence of autumn
demand for crop moving Continuing in some detail, the commerce
banlt says: « In no line has there been more than the customary midsummer
decline in the volume of business, while in many industries the slacken-
ing has been less than is us'oal. The improved agricultural outlook con-
' tinues to be the outstanding feature of the situation. Good crops of
corn and cotton are novT fairly well assured and the short wheat crop is
being compensated by a satisfactory price, l^ile it may be well that in
some lines of industry there is a dis-pcsition to count unduly on farmer
buying, it is safe to assume that this autumn goods of all classes will
find a readier market in most agricultural regions than at any time
since the post war depression began With consumer demand at high
levels both in agricultural and nonagricultural localities, the outlook
is for an autumn prosperity shared by prac;tically all classes of busi-
ness.'" (The Wall St. cTourv, Aug. 19.)
Canadian An editorial in The Country Gentleman for Aug. 22 says: "Farmers
Food in the United States feel that their production costs and living stand-
In5)orts ards are so high as to constitute a disadvantage in competing with other
world producers. Much depends on the point of view, as was demonstrated
at the last meeting of the Ontario, Canada, Vegetable Growers' Associa-
tion, J. Lockie Wilson, secretary-treasurer of the association, speak-
ing in terms that may sound strange to the ears of farmers in this
country, said: 'On top of our other handicaps our markets are flooded
with trainload after trainload of vegetables from the semitropical
sections of the United States, grown by the cheap labor oi the South.
The free-trade theories that are discussed in this country are a waste of
time, living as we do alongside a nation of 120,000,000 people who have
built a wall as high as Haman's gallows to protect their growers from
their neighbors.' The Canadian growers pointed out that $22,935,976
worth 01 fruit and $4,756,035 worth of vegetables came over the border
from the United States last year. These, as one grower declared, 'come
into Canada either entirely free of duty or with a duty based on the low
cost of production under semitropical conditions, grown by cheap labor.'
The Canadian position was stated in this way: 'The vegetable grower in
Canada carries on under trying climatic conditions, expensive equipment
and an unsympathetic tariff policy. When he compares his situation with
the balmy cliica.te, year around production and established cooperatives of
our southern neighbor, who, to our sorrow, understands the exploiting
of all markets, there can be no wonder that he feels at a disadvantage.^
So a tariff duty on vegetables and fruits from the United States, to
be levied on entry at so much per invoiced pound, has been requested.
And, as one grower naively called to attention: 'If United States grow-
ers, the rapidly extending citrus fruit associations, for example, found
a heavy duty on their exports to Canada, they would bring pressure to
bear on their own Government, and we woxild be in a position to demand .
more equitable entry for some of our Canadian products. It appears to
Vol- XVIII, No- 44
August 21, 1925.
me that the high duty on Canadian wheat entering the United States could
have been T?7arded off by increasing the Canadian duty on some of the
United States ej.ports to us.» As has been said, much depends on the
point of view and also on the location of the viewer."
Freight An editorial in The Price Current-Grain Reporter for Aug. 12
Rates says: "The departmental pages of the Price Current-Grain Reporter have
recently reported extra consideration given to the subject of freight
rates in State and national conventions. In the latter conferences, it
has been difficult to secure definite opinions because of necessity,
such associations are prescribed through the conflicting interests of
eastern and western members, and transportation managers have been op-
erating on general lines, and with their hands tied on sectional dis-
putes. More uncertainty prevails on the freight rate stracture to-day
than for some time with a tendency to higher prices on through traffic.
The Interstate Commerce Commission is apparently leaning towards the fix-
ing of rates on a mileage basis rather than an arbitrary standard, prob-
ably as good a basis as any other if it is borne in mind that our trans-
continental carriers are entitled to at least some measure of competi-
tion with ocean rates via the Panama Canal. A further point of much
importance is the movem.ent of empty cars justifying very often a lower
freight rate on goods moving in a certain direction than over the same
mileage in the opposite direction. It is the job of the I. C. C. to
adopt a rather definite principle of rate determinations, but to let it
be subject to such exceptions as may be advantageous to the country.
Ho hard-and-fast mile on a mileage basis will ever be wise and should
not, if such plan is selected, master the general freight movement of
the country."
Reforestation An editorial in the Ft. Bragg, (Cal.) News for Aug. 8 says:
"The Ivimber industry is one of our largest employers of labor, one of
the largest taxpayers and one of the largest producers of wealth from
raw material. There is no greater national issue than reforesting the
denuded areas, not only from the logging off of forests by sawmills,
but also from cutting forests for other national manufacturing industries.
The furniture industry alone puts on the market in this country $770,-
000,000 worth of manufactured products annually and in 1923 the auto-
mobile industry used 600,000,000 feet of soft and hardwood lumber. At
a recent national conference of editors and publishers, they were • t- ■.
startled into thinking of forestry as a national issue by the statement
that 7,500 acres of timber land are cut each week for pulpwood to make
newsprint. Freight charges of $250,000,000 in 1923 were paid for prod-
ucts of Pacific coast forests used in the mills and factories of central
and eastern States. It is not just western sawmills which are leaving
logged off lands that can only be salvaged by a national enthusiasm for
reforestation."
Rubber An editorial in The Outlook for August 19 says: "There is, of
Situation course, a question as to whether or not rubber planting in the
Philippines wovild be always profitable even if talk of Philippine inde-
pendence were stopped and a policy of retention definitely adopted.
The low price of rubber before the Stevenson plan was put into effect
appears to indicate that, under free conditions, there may be periods
Yol. XVIII, No. 44
4 -
August 31, 1925.
when rubber production will "be generally unprofitable. Large-scale
robber production in the Philippines does not hold out the assurance of
continuous large profits; but it does hold the assurance of continuous .
reasonable prices to consumers. No scheme for increasing prices such
as the Stevenson plan could be made to work if no single nation had a
practical monopoly of the si-^ply. And, regardless of what we may do in
the Philippines, it appears probable that the British monopoly is not to
continue much longer. Production of rubber in the Dutch East Indies,
already considerable, is increasing, and it is reported that the Nether-
lands Government declined to cooperate with the British by adoption of
the Stevenson pi.an. Brazil, the original home of the Para rubber tree,
where millions of trees are growing wild in the Amazon Valley, is making
intelligent efforts to recover something of what it lost to Great Britain
years ago. Substantial encouragement is offered capital to develop the
rubber possibilities of the Amazon Valley. A policy of liberality may
recover a considerable part of what a previous avaricious policy lost.
The United States may probably be able to produce rubber nearer home
than the Philippines. Experiments are in progress in Porto Rico, in
Florida, even on the dry lands of Texas, Arizona, New Mexico, and Calif-
ornia, where several species of rubber -producing plants may be grown.
They may not be so good for the purpose as the Para tree, but they can
"be made to produce rubber. Investigations are in progress also into
the possibilities of producing an American supply of rabber on leased
lands in various Central and South American countries; and American
rub'ber manufacturers are negotiating for something near a million acres
of land in Liberia, to be planted in rubber trees After all, we
must continue for several years to pay more for robber than we would
have paid had we developed our resources in the Philippines when we
should have developed them."
Wheat in The St. Joseph Stock Yards Daily Journal for Aug. 13 stated that
Kaoe&s the combined value of the Kansas wheat and com crops raised in 1924
exceeded by 20,000,000 dollars the total deposits in all the State
banks in Zansas at that time. This was revealed to->day when the State
board of agriculture made public the final quarterly report for last
year The total value of the major crops was more than 270 million
dollars, compared with deposits of about 250 million dollars in the
State banks.
A further rise in the general level of wholesale prices is shown
for July "by infonnation gathered in representative markets hy the U.
S. Department of Lahor through the Bureau of Labor Statistics. The
bureau's weighted index number, which includes 404 commodities or price
series, rose from 157,4 in June to 15S.9 in July, a gain of 1.6 per
cent, and the highest level reached since February, 1921. Fam products
showed the largest increases over prices in the preceding month, due to
advances in cattle, hogs, sheep, cotton, eggs, hay, hides, milk,
potatoes, tobacco, and wool- Prices of com, oats, rye, wheat, poultry,
flaxseed, and onions, on the other hand, averaged lower than in Jxme.
In the food group there were increases for meats, butter, lard, oleo,
and cottonseed oil, and oranges, which more than offset decreases for
coffee, flour, cornmeal, sugar, bananas, and' lemons, resulting in a
Wholesale
Prices
r
ii
Vol. XVIII, No. 44
- 5 -
August 21, 1925.
small net increase for the group. In the group of miscellaneous com-
modities continued advances in ruhher prices hrought the index number
for July to a point 4 per cent higher than in June. In the remaining
groups prices showed little variation from those of the previous month,
the tendency being upward for cloths and clothing, metals, and chemicals
and drugs, and downward for fuels, building materials, and housefumish-
ing goods.
Section 3
MEKET qUOTATIOIJS
Farm products August 20? Chicago hog prices closed at $13.60 for the top and^
$11.75 to $13.35 for the bulk. Medi\mi and good beef steers $7 to $13.75;
butcher cows and heifers $3.85 to $12.25: feeder steers $6 to $9; light
and medium weight veal calves $10.50 to $13c75. Fat lambs $13.75 to
$15.25; feeding lambs $14 to $15.50; yearlings $9.50 to $12.50 and
fat ewes $4.50 to $8,25.
New Jersey Irish Cobblers $2.50"-$2.85 per hundred pound sack in
terminal markets. Minnesota Early Chios ranged $2.35-$2.50 in midwest em
markets; $1.75-$2 in carload lots in Chicago. Geoi'gia, North Carolina
and South Carolina Tom Watson watermelons 24-30 pound average $200-$350
bulk per car in New York City; in Boston 40?J unit basis. Thurmond Grays
$250-$325 per carload in New York and Philadelphia. North CaT^l''^^^-,
Virginia and Delaware Elberta peaches sold at $2.50-'$3.75 per six basket
carrier and bushel baskets in consuming centers. Maryland and Delaware
Green Meat and Salmon Tint cantaloupes sold mostly at 755^•"$l per standard
crate in Eastern markets. California Salmon Tints from Turlock section
ranged $1.50-$2.25 per standard 45 in important cities.
Closing prices on 92 score butter to-'day* New York 43 l/2(^;
Chicago 41 1/2^; Philadelphia 44^; Bostoa 44^^. * n /
Grain prices quoted August 20: Noo 2 red winter Chicago^Sl.67 1/2;^
St. Louis $1.80; Kansas City $1.74. No.*2 hard winter Chicago $1.63-$1.65;
St. Louis $1.65; Kansas City $1.66°$1.72. No. 2 mixed com Chicago
$1.06 l/4-$1.07; St. Louis $1.04; Kansas City $1.00 l/2. No. 2 yellow
corn Chicago $1.06-$1.07 l/2; St. Louis $1.05"$i.06; Kansas City $1.02.
No. 3 yellow corn Chicago $1.04 l/4-$1.06 1/2- No- 3 white corn Chicago
$1.05-$1.06. No. 5 white oats Chicago 40 1/4-41 3/4 cents; St- Louis
41-41 1/2 cents; No. 2 white oats Kansas City 42 cents.
Average price of Middling spot cotton in 10 designated spot
markets declined 9 points, closing'' at 23.25<p per lb. New York October
future contracts declined 5 points, closing at 23. 28^^. (Prepared by Bu-
of Agr. Econ.)
Industrials and Average closing price Aug. 20 Aug. 19 Aug. 20, 1924
Railroads 20 Industrials 141.66 141.82 105.57
20 R.R. stocks 102.93 102.96 91.44
(Wall St. Jour., Aug. 21.)
A
DAILY DIGEST
Prepared in the United States Department of Agriculture for the purpose of presenting all shades of opinion aa
reflected in the press on matters affecting agriculture, particrJarly in its economic aspects. Responsibility, approval
or disapproval, for views and opinions quoted is expressly disclaimed. The Intent is to reflect accurately the
news of importance.
Vol. XVIII, No. 45 Section 1 August 22, 1925.
SHIPPING- To bring the best business judgment of the country to bear
PEOBLEMS from every possible angle upon a solution of the shipping problem
the Chamber of Commerce of the United States will hold a series of
conferences in cities of the Pacific Coast and Rocky Mountain States
to consider the questions of sectional requirements involved from the standpoint of
national policy. Following the Pacific Coast and Intermountain conferences similar
meetings will probably be arranged to cover the Middle Western and Southern States
to get opinion in the grain growing and cotton producing sections. The groundwork
for the discussion has already been outlined by four committees of the Ghamber'fs
National Merchant Marine Conference, made up of more than 100 business men, econom-
ists and others, representing a wide range of commercial, industrial, agricultural
and transportation interests.
FESIG-HT An Associated Press dispatch from Kansas City, Mo., to-day
RA.TES says; "Methods of combatting the proposed increase in freight rates
in the western distri.ct were discussed by representatives of twenty-
eight State Public Service and Utility Commissions and representa-
tives of agricultural and shipping interests. The conference is for the purpose of
coordinating the efforts of all concerned in the fight being waged against any in-'
crease in rates. Declaring that an increase in freight rates was unnecessary, J. H,
Mercer, secretary of the Kansas Livestock Association, said the railroads were gen-
erally prosperous. >''M^-'Df wiro. lictistock industry contend the railroads are a
niortured industry-— Government nurtured— and are generally prosperous, « An investi-
gation by rate men of the various Public Service Commissions to determine the
equity of freight rates on agricultural products as compared with other commodities
was urged by William Hirth, of the Missouri Pana Bureau Federation. The meeting
adjourned to convene again in Chicago September 8, when the Interstate Commerce
Commission starts the freight rate hearing. After meeting with the State Public
Service Commissions, the farm organization men met in another room to compile some
foimal questions, which they I'equested the rate men to answer before the Chicago
hearing. The questions had to do with rail earnings on classes and commodities;
expenses, revenues and cost of operation since 1920, a comparison of rates and ton-
mile earnings and the market value of railroad securities eince 1920. Committees
on valua,tion of railroad properties; revenues and expenses and rates and valuations
of railroad securities were named."
An Associated Press dispatch from TVashington to-day says: "The Interstate
Commerce Commission's Chicago hearing, September 8, on western rates will be given
over entirely to presentation of evidence by the railroads, and the shippers, and
the public will present their evidence later at hearings in other cities still to
be selected. A committee of representatives of State Railroad Commissions will co-
operate in the hearings. The carriers have been asked to present at Chicago com-
plete information on mileage operated by each class 1 road in each Western State,
the operating revenues, received by each road in each State, divided between intra-
state and inter-State traffic and the total tonnage handled in each State."
Vol. r/in, 'Bo, 45
August 22, 1925^
Argentina
Invites
American
Farmers
Section 2
The pan American Union BuiletiTx for August states that on the
eve of his departure for Washington to resume his duties as Argentine
amlDassador to the United States, Dr. Honcrio Pueyrsredon granted a notahle
interview in which he stated that he hoped very soon to put into effect
several measures that will result In a ^evj much closer relationship
and more complete interchange tetween Arg-entina^and the United States.
In the course of the inte-.r/iew, Doctor Pueyrredon remarked: "There are
two things in the United States that I greatly admire; Tlie American
people, and the American roads, and I want to see more of "both of them
in my own. country." ....Dr.. Pv.eyrredon mast he credited as the first . -co
state puhlicly what has racently "been repeated hy many: Tliat the United^
States must soon turn to Argentina for its heef and wheat. On this point
Doctor Ptieyrredon said: f^Argentina is to-day in ahout the same stage of
industri.al development as was the United States at the end of the Civil
War. We are cverwhelmingly an agricultural couatty, 95 per cent of our
exports heing agricultural. On the other hand, the United States has ;
hecome one of the world^s greatest indu.strcial nations. We fatten steers-
c-n alfalfa on the great open estancias and e3cport our corn, while in
the United States the steers are fattened for market on com, so that the
great Corn Belt is practically the only part of the United States wiiere
cattle can he raised profitably, IJow the ra.pidly increasing population
has so encBoachsd on this Corn Belt from "both coastr. that you have now
to ship as far to get your meat to California as to get it to the East,
and it now costs as much to ship a pound of heef from Chicago to Boston
as it does from. Br.epos Aires to Boston. In Argentina there are four
"beef cows per pexoOxi, whereas in the United States there are three
persons for each heef cow. Confining oax' attention for a moment to heef
production, there is no reason to expect Argentina to lose her dominant
position, as this is assured hy $35 cows, $20 land, and $25 cowhoy wages.
No other country can "boast a comparable area of land so bear.tifully
adapted to alfalfa, coin; winter pasture and beef. A year-round grazing
season helps to give us supremacy in the export-beef trade. And we have
only begun to develop our pastoral resources. Argentina has millions
of acres of grasslani, admirably adapted to alfalfa, which have never
been plowed. And we can fatten two steers a year on every acre of that
land; Your beef producers have moved farther and farther west in search
of cheap pasture land. The;'- can now go no farther within the boundaries
of the United States Some of our yoxing men may wish to go to the
United States in se,arch of industrial openings. And if any farmers of
livestock in the United States are seeking an opportunity for greater ex-
pansion in the strictly pastcra!l and agricultural regions of Argentina,
I will gladly -undertake to direct them to Govej^nment officials and res-
ponsible private persons from whom they will receive a genuine welcome
and dependable advice in choosing a location where success ma-y be ex-
pected." The ambassador believes that Argentina offers a bright future
for American farmers, but while he wants to see them go there, it should
"be clearly understood that he has no scheme for colonizing them, on Gov-
ernment land. Doctor p'aeyrredo.n does maintain, however, that American
farmers can buy the finest agricultural laud in the world in Argentina,
"Within easy access of railway lands, at a cost per heo-care (2-4?'i5acyes)
that is as low and sometimes lower than the cost per acre in the United
States, but -chat any young farmer desiring to go to Argentina and to pur-
chase privately owned land ought to have a capital of from ^5,000 to
Vol, mil, No. 45
August 22, . 1925.
$10,000. "Four or more of your "big packing corcpanies conduct a flourish-
ing "business in Argentina," added tlie a2i"bassador. "The logical corollary
of this packing movement is for some of your cattlemen to follow those
companies to Argentina for the purpose of s-applying the respective plants
with the steers needed for cur growirg export trade." Dr. Pueyrredon
repeated what has haen said heiore mny times ahout international com-
merce, hut which can not he repeated too often, especially as regards
the trade between this country and the United States* "Conmerce is two
sided; we huy where we sell, and sell where we huy. Argentina should
not he asked to htiy to an ever- increasing extent from any coimtry which
does not take our commodities in corresponding quantities to balance
trade. Commerce must flow in two parallel currents, outgoing and in-
coming. If Argentine farm products go to other industrial markets which
may show a preference for them, we may quite naturally come to buy our
manufactured goods there under pressure of the maritime factor of trade
which augments or redijced exportation according as there is or is not
a return cargo."
Sect ion 3 .
QUOTATIOFS
Farm Products August 21: Chicago hog prices closed at $13,75 for the top and
$11-30 to $13-40 for the htilic. MediuTu and good beef steers $7 to $13.75:
butcher cows and heifers $3.85 to $12<2d', feeder sheers $6 to $9: light
and medium weight veal calves $iO„50 to $13v.'if'5. Fat lambs $13-50 to
$15.25^ feeding lambs $14 to $i5»50j yearlings $9,50 to $12.50 and fat
ewes $4.50 to $8,25.
Potatoes weaker in city markets and at shipping points. New
Jersey sacked Irish Cobblers ranged $2»35-$2.85 per hundred potoids in
eastern cxties^ $2.35"$2.50 at Northern and Central New Jersey points,
Watemelons declined. Georgia, Novth Carolina and South Carolina Tom
Watsons and Thu-rmond G-rays 22--30 pound average, declined $25-$50 per
carload ranging $i50-$350 in New York. North Carolina Elberta peaches
.steady in New York at $2.>50--'$3 per bushel basket. New Jersey Elbertas
ranged $2-$2-50 per six basket carrier and bushel basket in New York and
Philadelphia, top of $3.V5-$4 in Pittsburgh. Maryland and Delaware
cantaloupes are selling at a wide range of 50^--$1.75 per crate in Eastern
markets, California Salmon Tints from Turlock sections 50(P-$1 lower at
$1,25-$1,75 in city markets. New York Big Boston type lettuce ranged
50^'-'S0^ per 2-='dor;en crates in consujning centers; Colorado Iceberg type
$2.50"$3 per crate.
Closing prices on 92 score butter tc-day: New York 43 l/2;^'t
Chicago 41 l/2^t Philadelphia 44^; Boston 4:^- .
Grain prices quoted August 2lt No. 2 red winter Kansas City
$1.74;. St. Louis $1.?8-$1.81. No. 2 hard winter Chicago $1,60 1/2-
$1.66- Kansas City $1 » 62-41 -''O- No. 2 mixed com Chicago $1.05 l/2;
Kansas Cii.y 93 1/2-99 cents; St. Louis $1.03. No. 2 yellow corn Chicago
$1»05 l/2'-$l-06; Kansas City $1.01t St. Louis $1.04=$1.14 1/2. No. 3
white corn Chicago $1.04 l/2-$l«'05. No^ 3 white oa'cs Chicago 40 1/4-
41 1/2 cents* No. 2 white oats Kansas City 41 1/2 cents. No, 3 white
oats St. Louis 41 1/4-41 I/2 cents.
Average price of Middling spot cotton in 10 designated spot mar-
kets advanced 3 points, closing at 23.28j# per lb. New York October
future contracts advanced 7 points, closing at 23.355^. (prepared by Bu.
of Agr- Econ. )
DAILY DIGEST
Prepared in the United States Department of Agriculture for the purpose of presenting all shades of opinion as
reflected in the press on matters affecting agriculture, particularly in its economic aspects. Responsibility, approval
or disapproval, for views and opiniooA quoted is expressly disclMnied^ The intent is to reflect accurately the
news of importance.
Voj.r/ni. No, 46 Section 1 August 24, 1925.
HS'IRY FORD OU A New York dispatch to the press to-day says: "AlDolish the
FARMER PROBLEMS dairy cow; scientifically produced s^Tithetic milk can "be "both richer
and cheaper. So says Senry iFord, who has turned his attention toward
the proDlems confronting the farmer. His ideas in this direction will
appear at length in an interview to he published shortly in Farm and Fireside. The
averag3 practical farmer may he startled "by some of the automohile r/ianufacturer^s ob-
servations on agriculture, and so, too likely, the rarJc and file of scientists and
economists. Kis attitude toward farming' is strictly that of a production engineer.
Even the best of scientifDc farming pains his efficiency senses. He proproses to
abolish the cow because she is inefficient and to substitute for her a machine which,
synthetically, will produce milk from which butter can be made. . . , "Th^e trouble with
farmers is that they had to use too much of their time milking cows ond taking care
of all the other animals they keep. That has all got to be changed; growing crops
takes less than a month's time out of the year and the rest of the time farmers could,
well employ at some other work.* He was asked how it would be possible to keep up
soil- fertility without the fertilizer produced by farm animals. 'That can be done
easily with commercial fertilizers,' he replied. 'We are making ammonium nitrate in
our Rouge plant as a by-product of the coke ovens and using it on our farms.' It wag
suggested that it is not always economical for a farmer growing general crops to buy
the fertilizer he needs. 'It will be in the future,' he asserted, a bit impatiently,
'Fams will be larger and they will be run more systematically. The little farmers
will have to go. They are back numbers. •'¥?hy do we need farmers , anyway?' Then,
realizing perhaps that this was a bit extreme, he corrected himself; 'It depends
whether you regard fanning as a way of living or as a business. Some people farm be-f
cause they lilce to live in the country. Other people farm because they think there
is money in it, • Let people live in the country if they like. They can easily go
l3ack and forth to work in their cars. Let them farm if they want to. But there is -
no reason why anyone should use all his time fanning. 'Industiy gradually is moving
out into th.c country districts and more and more farm people are going to work in
these plants. «» .. .
LIVING COSTS A Washington dispatch to the press to-day says: "The cost of
living is continuing to rise and is now close to 75 per cent above
that of 1913, according to figures obtained from the Department of
Labor's statistical bureau. What could be purchased for $1 before the World War
costs almost $1.75 to-day."
TEXkS FARM LABOR An Austin dispatch to the press to-day says: "The greatest exo-
EXCbliS dus ever known of farm laborers from Central Texas to the more favored
agricultural parts of the State is now in progress. Mexicans and
Negroes are leaving by the thousands because of drouth conditions in
fn area embracing sixty- two counties. Coram^ercial bodies and banks are assisting the
tenant class and field laborers, in finding new locations."
Vol. XVIII. No. 46
- 2 -
August 24. 1925.
Section 2
Federal Grain An Associated Press dispatch from Des Moines on August 19 said:
Eeserve "A Federal grain reserve system was suggested as a means of stabilizing
System grain prices by Charles D. Reed, head of the Iowa weather and crop re^^
porting bureau, in an address here yesterday. Mr. Reed favored control of
such a system by a Federal commission, declaring 'no one would suffer
from it except the grain speculatorSi ' Regulation of production, import
and export grain could be handled by the board, he said, to the benefit
of farmers and business generally. Practicability of the plan, he be-
lieves ^ has been demonstrated by the Federal Reserve banking system.
Mr. Reed said Iowa's corn acreage this year was larger than in any pre-
vious season, but pointed out that a bumper crop did not always mean
greater income for the farmers. Eastern Iowa has the best crop ever re-
corded, the crop observer stated, and the general production will be
good, he believes."
Pood Prices The retail food index issued by the United States Department of
Labor through the Bureau of Labor Statistics shows that there was an in-^
crease of more than three per cent in the retail cost of food in July,
1925, as compared with June, 1925. The. index number (1913 = 100.0) was
155.0 in June and 159.9 in July. 'For the year period, July 15, 1924, to
July 15, 1925, the increase in all articles of food combined was approxi-
mately 11.5 per cent, while for the twelve-year period, July 15, 1913, to
July 15, 1925, the increase was about 60.5 per cent.
An editorial in The Southwestern Miller for August 18 says:
Tariffs "After a lapse of more than 10 years, or since the beginning of the World
War, Germany is about to. put high duties into effect again on wheat and
flourw..To American millers the action of the German Reichstag is any-
thing except pleasing. The hope of American millers had been that
Germany, which is eager to broaden her market for the products of her
great industrial plants in order to pay huge war obligations, would re-
frain from exacting tariffs on foodstuffs. Another hope here was that a
parity would be maintained between wheat and flour, although signs have
not been wanting that this would not be done. The rates as adopted are
discriminatory a^inst flour, it is obvious. .. -That some business maybe
done with Germany under the new law is indicated by the following report
of the Associated Press from Berlin: ''While the new duties will tend to
-hamper American exports to Germany, it is indicated in official quarters
that the tariffs represent maximums which are to constitute the basis for
subsequent negotiations with other nations. In the case of food duties,
for instance, it is pointed out that the Ministry of Agriculture is em-
powered to alter these in order to secure reciprocal tfeatment from na-
tions which have not yet concluded treaties with Germany. i Whether the
United States will be able to persuade Ggrmany to make modifications in
the interest of our wheat and flour, especially flour, will shortly be
made known. Uo time should be lost in trying to hold this market. The
United States is in a position to offer much for it to the German govern-
ment."
Russian Russian Review for August 15 says: "In order to wage a systematic
Agriculture struggle against recurrent draughts and to build up a sturdy agriculture
al economy in the country's arid regions, the Presidium of the Central
Executive Committee of the Soviet Union has decided to create a 'Special
.;
5
:■ • ■■■■ , ■;■
■ ^ .... .^c
' - ' - y". ■ '■ '. .:. .:''?tr: .
Vol . r;ill. No. 46 - 5 - August 24, 1925.
Fund for Fighting Droughts' in the amo-ant of 77,000,000 gold ruhles, to he
raised within the next three fiscal years hy annual budget appropriations,
as follows: 20,000,000 gold rubles in 1925-26^ 25,000,000 go:d ruoles
in 1926-27; and 31,000,000 gold rubles in 1927-28. The resources in this
fund will be employed in the foim of long-term credits to finance special
alterations in the farming system in connection with the transition to
more effective, forms of tillage: for general improvements; for technical
measures to improve the soil and establish sufficient fodder fields to as-
sure a steady fodder supply, thus rendering possible the development of
.profitable li^restock raising; for the acquisition and replenishment of
.'farming equipm>ent and for measures leading to the more efficient utiliza-
' tion of such equipment; and for the repair and equipment of local plants
: to handle the products of grain farming, livestock raising, and truck
gardening. The loans provided by the fund will be granted to the various
types of agricultural associations, as well as to the local Soviets, on
condition that these bodies contribute a fixed share to the resources
required for the measures financed through the special fund. In addition
to authorizing the appropriation of resources for this special fund, the
. Presidium of the Central Executive Committee decided that it was necessary
to imke provision for the employment of technologists and the conduct of
experimental work in conjunction with the projected measures for combating
droughts. These appropriations are to be made through the hadgets of the
Russian -Socialist Federated Soviet Republic (Soviet Russia proper) and the
Ukrainian Socialist Soviet Republic during the next two fiscal years and
their combined annual aggregate is to be not more than 2^000,000 gold
rubles for the two republics,"
Shippers' An editorial in Better Fruit for August says: "An event of more
Advisory importance to produce shippers of the Northwest than any other occurence
Board of recent months is the establishment here of a shippers' regional ad-
visory board under sponsorship of the American Railway Car Service bureau.
H- J. Arnett, recently of Denver, has been named manager, and on August 1
begins the work of framing the board. This will consist of 15 representa-
tive local shippers. Offices of the board will be maintained in Seattle
and Portland. Except for small excluded regions, the board will have
jurisdiction over Washington and Oregon. Other sections of the country
have had these shippers' advisory boards. There have been ten of them.
They are said to have been uniformly satisfactory in handling problems
relating to car supplies. They function in the matter of obtaining and
allot ing cars and of adj\isting disputes between shippers and carriers
which these parties can not settle directly. The Oregon-Washington board
should be f-unctioning in time to handle phases of supply and allotment of
cars to shippers of fruit, vegetables and other products very soon, or
well before the peak of fall crop movements arrives."
Transportation An editorial in The Wall Street Journal for August 22 says: "Weekly
Problems car loadings of the railroads are valuable for comparing week with week or
a period in 1925 with a period of 1924, but ov er a number of years these
figures would tell less than the whole story. The gain in loadings for
this reason indicates less than the business growth of the nation. The
railroads are continually scrapping old equipment and buying new, with the
result that the average freight car capacity is continually increasing.
In addition to this, the roads for five years have been carrying on a
campaign among shippers for heavier loading of cars, so that the increase
in cars loaded does not measure the increase in tons loaded. When it
Vol . XVIII. IJo- 46
- 4 -
August 24, 19?5.
comes to the number of ton-miles, which represent the freight activity of
a railroad, opposing factors have been working in opposite directions.
Trucks have taken a good deal of short-haul business, which would tend to
increase the average length of haul, but the Panama Canal has taken a
great deal of long-haul business, which would work reversely. If fig'axes
could be compiled on the total movement of freight, by railroad, truck
and canal, they would show a much greater growth in the country's trans«»
portation business than is indicated by gains in car loadings. A similar
situation exists in the passenger traffic of the Nation. Thoughtless
persons, seeing heavy travel by motor bus, conclude that the railroads
are losing their passenger traffic. It does not occur to them that most
"of the people who now make week-end trips by bus, contented themselves
with an annual trip by rail 25 years ago; arid, if they got out every week-
end, it was to walk around the block or take a street car to the park."
Section 3 . .
MAEKET QUOTATIONS ' . ' .
Farm Products Aug. 22: Chicago hog prices ranged from 50 to QO<f^ lower for the
week ended August 21. Medium and good beef steers 25^ to $1 lower; butch-
er cows and heifers steady to 75^ lower; feeder steers steady to 25^
higher; light and medium weight veal calves 25 to 75^ lower. Fat lambs
25^ lower; feeding lambs steady; yearlings steady to 25$^ lower; fat ewes
steady.
Potatoes weaker in city markets and at shipping points. New Jersey
sacked Irish Cobblers ranged $2..35-$2o85 per hundred pounds in eastern
cities; $2.35-$2.50 at Northern and Central New Jersey points. Water-
melons declined. Georgia, North Carolina and South Carolina Tom Watsons
and Thurmond Grays 22-30 pound average, declined $25-$50 per carload in-
New York. North Carolina Elberta peaches steady in New York. New Jersey
Elbertas ranged $2-$2.50 per six basket carrier and bushel basket in New
York and Philadelphia, top of $3.75-$4 in Pittsburgh. Maryland and
Delaware cantaloupes are selling at a. wide range of 50j{-$1.75 per crate
in Eastern markets. California Salmon Tints from Turlock section 50^-$l
lower in city markets. Lettuce dull and weaker.
Hay market continues generally firm, with receipts light at most
markets. Short crop of tame hay causing farms to delay marketing until
wants are determined. Canadian crop reported slightly larger with larger
stocks carried over from old crop. Weather more favorable for pastures
in recent drought area of West and Southwest. -
Millfeed markets easier, Wheatfeeds in excellent supply but no
selling pressure from western markets is noted. Middlings fairly firm.
Cottonseed meal prices steady. Little disposition shown by jobbers to
trade in new crop meal. Linseed meal easier. Resellers offering linseed
meal prompt shipment at $48.50 Buffalo, Cornfeeds steady, with yellow
hominy feed showing weaker tendency.
Wheat future market continues unsettled, but cash grain firm on
light receipts. Offerings of Russian wheat weakening European markets and
Liverpool quotations lower.. Small export sales reported but premiums for
best milling grades firm. Corn market weaker with demand less active and
buyers taking only sufficient for immediate needs. Oats also weak but good
demand in Southwest,
Butter markets continue to be unsettled. A changed production out-
look was an important influence. Cold storage holdings on August 1 report-i
ed at 109,041,000 pounds, which is 25.077,000 pounds lighter than last
year's holdings. These stockers, however, generally considered ample for
requirements later in the season. Foreign markets firm and sl3.gh'ftly higher.-
Average price of Middling spot cotton in 10 designated spot markets
declined 24 points for week. New York October future contracts declined
16 points. (Prepared by Bu. of Agr. Econ.)
DAILY DIGEST
Prepared in the United States Department of Agriculture for the purpose of presenting all shades of opinion as
reflected in the press on matters affecting agriculture, particularly in its economic aspects. Responsibility, approval
or disapproval, for views and opinions quoted is expressly disclaimed. The intent is to reflect accurately the
news of importance.
Vol. XVIII, No. 47 , Section 1 August 25, 1925
FARM IMPLEMENT A Minneapolis dispatch to the press to-day says: "One line of
SALES trade that shows marked and continuing improvement in this section is
the farm implement business. Sales are the largest since 1921, when
the trade all hut collapsed. For three years there were not enough
farm implements sold in the Northwest to keep long- established dealers on their feet
without going into other lines. The big and profitable crop of 1924 revived the
trade somewhat, and this year it has continued to get better. Now, with another crc
turning into cash, farmers are increasing their inquiries for implements."
CAMDIAN FARMER'S A Toronto dispatch to the press to-day says:"A measure of the
INCOME new purchasing power of Canada may be gathered from the estimated in-
- crease this year of $600 over his last year's earnings added to each
Canadian farmer's income from his field crops alone... This new farm
income is estimated as possessing a purchasing power greater by $100,000,000 than
even the largest agricultural revenue received in the three years of the post-war
boom. For the enforced economy practiced here for the last year and a half has suc-
ceeded in reducing to 158 the wholesale price index of 236 commodities, which five
years ago stood at 243."
FLORIDA PUBLIC A Washington dispa- ch to the press to-day says: "Moved by re-
LANDS ports from Florida that real estate values in that State are soaring,
Doctor Work, the Secretary of the Interior, to-day took steps to witl
draw from sale unreserved public lands in Florida that are subject tc
appropriation by homesteaders, with a view to assuring better prices when the boom
hits the sections in which the Government has a proprietary interest. The Govern-
ment owns about 85,000 acres in Florida and Secretary Work hopes to prevent this la:
from falling into the hands of speculators."
MERCHANT MARINE Chairman O'Connor, of the Shipping Board, in commenting on thf
introduction in the French chamber of deputies of a ship subsidy bill
declared: "It becomes more and more apparent that every nation of
size is beginning to feel that its industries are not safe unless at least a consid»
erable part of its products are carried by its own ships. A national fleet of ships
is the best insurance policy that I know for agriculture and manufacturing industry
on land, and I note with interest that a bill is now pending in the French chamber
of deputies for Government aid to its shipping industry." Hard times can be insured
a^inst, according to Mr. O'Connor, by guaranteeing to American producers ready ac-
cess to the markets of the world at a reasonable rate, and that can only be done by
placing a large fleet of American owned ships at their disposal. (Washington Post,
Aug. 25.)
Vol . XVIII. No. 47
- 2 -
August 25, 1925 ♦
Section 2
Farmers and An editorial in The Price Current-Grain Reporter for August 19,
Tariff says: "We touched upon the flexible tariff situation here not long ago,
to the effect that it had been difficult to interest farmers in the idea
At a recent Philadelphia conference, however, a secretary of one of the
cooperative milk producers' associations took the position that flexible
tariff rates are injurious to dairying. He had in mind the cooperative
marketing feature, submitting that the uneasiness of the trade on tariff
changes minimized the success in marketing dairy products and that it
was preferable to operate under a fixed tariff. Theoretically, this
Speaker pointed out the possibility of high foreign production costs of
articles which could not be sold at home and therefore the dumping of
such UTimarketable foreign stocks either in the United States or in com-
petition with our export business. Since our flexible -tariff went into
effect about three years ago, many foreign tariffs against American
products have been established and if a complete or partial change of
certain of our tariff provisions is likely to widely benefit agricultur-
al interests, it is high time those represented should give the subject
the close attention it deserves. An interesting side issue in this
tariff situation followed the President's work in fixing rates which were
to be somewhat determined by the cost of production abroad on competing
articles. It will be recalled that our Government agents were quite free
ly sprinkled through many foreign countries and as time elapsed, we re-
ceived a sharp setback in refusals of cooperation of this sort from the
following countries: Great Britain, Switzerland, Denmark, Spain and
Belgium. It is not likely that the President has welcomed the duty of
regulating import tariffs, especially since the difficulty in determin-
ing the differences between home and foreign production has arisen. We
look for a change in this procedure at the first possible opportunity."
5^t^re An editorial in The Nrrthwestem Miller for Aug. 19 says; "In a
Trading letter published elsewhere in this issue, Mr. David Anderson, president
National Milling Co., Toledo, raises an interesting point in connection
with the application of penalties to defaulters on contracts for future
delivery.. Briefly, the point made is that the five per cent penalizati(
of the defaulting seller for the benefit of the buyer gives the latter
practically the full profit of his successful 'cornering' operation. H*^
does not dispute the principle that the defaulter should be penalized, 1
but urges that it should not contribute to the profits of the speculati-
'comer.' He proposes that it be paid to the Board of Trade. 1?hile
Mr. Anderson's protest and suggestion are essentially technical, they
touch upon the fundamentals of future trading. 'Comers,' in the sense
of there being more of a commodity bought than can possibly be delivere;i
within the prescribed period, can not, perhaps, be wholly avoided. All
trading, as now conducted, is to an extent blind. Nor is it wholly in
point that defaults in Chicago July delivery were intentional on the pai
of the defaulting shorts. It is more to the point that these situations
would be more readily apparent under the supervision of a clearing house
The larger view of this whole matter is that the rules governing future
trading are in need of such revision as will prevent these happenings.
Every one of them, no matter how wisely or with what justice they may be
handled by the .officials of the Board of Trade, results in increased
public antagonism, not only to the Chicago Board of Trade, but to the
whole system of future trading. Admitting that correction of all of the
- 3 -
Atig:ast 25. 1925.
faults offers difficulties, it is yet true that none of them can "be cor-
rected without sincere and earnest effort. Such effort so far has not
been made, nor is there promise that it is likely to "be made. Why, its
"best friends wonder, does not the Board of Trade make at least a gesture
of sincere intention to do those things which the public and the trade
desire it should do? Does it believe that the reassembling of a Congref
anxious to interfere is so far off that it need not be taken into presei
account? Or, perhaps, it is convinced that Secretary Jardine spoke x7itL
out meaning and that he would not definitely cancel Chicago's authority
to conduct future trading operations. Secretary Jardine is not a poli-
tician; the administration, of which he is part, has no present need to
court the support of prejudice; yet the Chicago Board of Trade may so
conduct its affairs that a direct resort to the authority of the Capper-
Tincher act would win widespread approva.lo
Japanese An Associated Press dispatch from Washington August 22 says: "A
Cotton Mill Commerce Department dispatch yesterday from Peking formally reported
Strike settlement of the strike in the Japanese cotton mills there, which was a
starting point for much of the recent industrial disturbance in China.
' Approxim.ately 50,000 strikers were involved. Under the settlement, the
■ labor union will be recognized when a labor code is promulgated by the
Peking Government. All future payments to workmen will be- in silver
dollars or their equivalent. The mill owners will give financial aid to
needy workers. No workers will be dismissed without cause, and no fore-
man will be armed under ordinary?- circumstances,"
Tropical The Trad^ Record of the National City Bank of New York for
Production August 24 saysjIEiat the tropics have already begun to respond to the in
creased demands of the temperate zones is evidenced by the fact that the
value of the exports of all tropical countries for which figures are nor
available, aggregates approx: nately 5-l/Z billion dollars in the latest
year of record against but about 3f billions in 1913, and the increase
in their imports shows a corresponding gain. The United States is vita]
ly interested in the growth of the producing power of the tropics and ir
their power to absorb our manufactures in exchange, as is evidenced by
the fact that our 1924 trade with that area shows big gains over 1914.
Our manufacturers buy from the tropics a large proportion of the foreigii
materials which they use in their industries and pay for them whenever
practicable with the products of their factories. Our own official
.figures indicate that our commerce with the tropical world increased
250^ in the period 1914 to 1924, while our trade with the other part of
■• the world increased less than 100^ in the same period. The unexplored
and yet undeveloped section of the tropics form a much larger percentage
of their producing area than in the temperate zones. Nearly all of Lat"'
America, all of Africa, and a large proportion of Australia lie within
the tropical belt above outlined, and their great forestal areas, es-
pecially those of the Amazon and Congo Valleys are as yet but little
developed. "
Vol. XVI II. No. 47
4 -
August 25, 1925.
Section 3
mBKET QUOTATIONS
fam Products Aiag, 24: Chicago hog prices closed at $13.50 for the top and $11
to $13 for the bulk. Medium and good heef steers $7 to $14; hutcher cows
and heifers $3.80 to $12-50; feeder steers $5,75 to $8,75 and light and
nredim weight veal calves $10 to $13.25. Fat lamhs $13.25 to $15; feedir
lambs $14 to $15.50; yearlings* $9.25 to $12.25 and fat ewes $4.50 to
$8.25,
Watermelons barely steady. Georgia and North Carolina Thurmond
Grays 22-S3 pound average ranged $200-$ 300 bulk per car in Eastern cities
Maryland and Virginia Tom Watsons and Thurmond Grays sold at $200«-$280 per
carload in New York and Philadelphia. New Jersey Irish Cobblers sold at
$2.35-$2»85 sacked per hundred pounds in Eastern markets. Maryland and
Delaware Salmon Tint and Green meat cantaloupes ranged 50j^-$1.25 per
standard 45 in Eastern markets. New Jersey -Elberta peaches janged $2.50-
$3.50 per six basket carrier in Eastern cities.
Closing wholesale prices on 92 score butter to-day: New York 43|^-
Chicago 4l|^j Philadelphia 44^; Boston 44^.
Grain prices quoted August 24: No.l dark northern Minneapolis
$1,58-$1,72. No. 2 red winter St. Louis $1.78-$1.82; Kansas City $1.75.
No. 3 red winter Chicago $1.70 3/4. No. 2 hard winter Chicago $1.64 I/2-
$1.65 1/2; St. Louis $1.67; Jansas City $1.66-$1,73. No. 2 mixed com
Chicago $1.02"$1.03 l/2; St.* Louis $1.00; Kansas City 96-97 cents. No. 2
yellow com Chicago $1.02 l/2-$1.04 l/4; St. Louis $1.01-$1.02; Kansas
City^98 cents. No. 3 yellow corn Chicago $1.01'»$l-03 l/4; Minneapolis
94 1/2-95 1/2; No. 3 white corn Chicago $1.01-$1.03 l/4. No. 3 white oats
Chicago 39-40 I/2 cents; St. Louis 40 l/2«41 cents; Minneapolis 36 I/2-
36 3/4 cents. No. 2 white oats Kansas City 41 l/4 cents.
Average price of Middling spot cotton in 10 designated spot markets
declined 16 points, closing at 23.11^ per lb. New York October future
contracts declined 15 points, ;losing at 23. 23^. (Prepared by Bu. of Agr.
Econ. )
Industrials and Average closing price Aug. 24. Aug. 22, Aug. 24, 1924
Eailroads 20 Industrials 142.76 142.87 103.51
20 E.R. stocks 103.53 103.28 89.82
(Wall St. Jour., Aug. 25.)
AILY
Prepared in the United States Department of Agriculture for the purpose of presenting all shades of opinion aa
reOected in the press on matters affecting agriculture, pnrticularlyin its economic aspects. Re«ponsibility, approval
or disapproval, for views and OBinion* ftuoted is expressly disdaimed. The intent is to reflect accurately the
news of importance.
Vol.XVIII, No. 48 Section 1 August 26, 1925.
LIVESTOCK Crlenn Griswold, Chicago correspondent of the Philadelphia
INDUSTRY Ledger, in to-day's issue says: "One of the constructive elements in
the "business situation to-day is the livestock industry, which is in
excellent shape at this writing ®nd promises to continue so through-
out the year. Primarily, it is the farmer who benefits from advancing prices for
livestock hut, secondarily, the packing industry, which occupies an important place
in the business machine, is likewise prospering. It is always difficult to size up
the situation in the packing industry at this time of year and to make comparisons
with the situation a year ago. Results in the packing industry depend largely on
the prices 'received for stored pork products. It is true that these are going out
at good prices at present, but there are still large quantities of pork products
that have to be marketed during the next two months. The prospects for healthy
business conditions during the next two or three months are very good, and this wilJ
undoubtedly mean a continued heavy demand and good prices, so that the outlook for
finishing the season with a satisfactory profit on pork inventories is auspicious...
Although cattle prices have been ranging higher than last year, the dressed-beef
market has not risen in proportion, and it has been difficult for packers to make
any money in the beef business. Other branches of the packing industry on the whole
are doing well, and there is good reason to expect satisfactory results when the
packers close their books for the year.... The increase in hog and cattle prices is,
of course, beneficial to the farmer, and it is estimated that his purchasing power,
based on returns from livestock, will show an increase this year as compared with
1924."
CANADA FARM A New York dispatch to the press to-day says: "The Hudson's
SALES Bay Company, one of the largest land owners in Canada, reports an in-
crease in the sale of farm lands and a decrease in the sale of town
lots during the six months ended July 31. In the period covered by
the report the company sold 71,297 acres of faim lands for 177,518 po^ands, an in-
crease of 46,240 acres and 107,019 pounds, respectively. Payment for the land is
largely made on an installment basis, and the increased sales, it is reported, have
not yet produced their full effect on the company's receipts, which were 67,459
pounds for the July quarter and 165,784 pounds for the last half-year period."
HAWAIIAN SUGAR An Associated Press dispatch from Honolulu to-day says:
CROP "Refineries calling for new Hawaiian sugar crop estimates will be
told that the 1925 output will exceed 781,400 tons, the largest
harvest in the history of the plantations."
Vol. XVIII. No. 48
- 2 -
A-ugast 26. 1925.
Section 2
British Farm An editorial in Coiintry Life (London) for kag. 15 says: "The
Subsidy Special Committee of the Cotmcil of Agriculture for England entrusted
with the task of framing proposals to guide the policy of the Minister of
Agriculture has reported in favour of granting a suhsidy for arahle farm-
ing. However much the principle of subsidies may be disliked, we have to
face the fact that in arable farming the returns have "been distinctly un-
profitable for the past few years. This has caused extensive laying down
of arable land to grass, with a consequent reduction in the labour em-
ployed on the land and the substitution of a safer system of farming. It
has meant a reduction in the food productive capacity of the land and
greater dependence upon outside sources ..What is, perhaps, unique in the
recommendations is that the subsidy should apply to land under bare fallow
or fallow crops instead of the customary proposals to guarantee prices, or
to make a per-acre grant for cereals. Ah excellent feature in the new
proposal is that it seeks to establish an era of good faming. The fer-
tility of a great many soils depends largely upon their fallow year. . .The
heavy cost of bare fallowing and fallow crops has been a very important
factor in the decline of arable farming, and, on the face of it, there is
considerable wisdom in a subsidy based upon the area of land rendered more
suitable for the growth of satisfactory cereal crops. The amount of sub-
sidy suggested is at the rate of 2 pounds per acre, which, based on rather
less than one-fourth the area of the arable land, would, at first, cost in
the neighborhood of 5,000,000 pounds for England and Wales. The proviso
is made that not more than one-fourth of the total arable area on any
particular holding should be eligible for the grant in any one year. That
is to say the four-course rotation is taken as the basal one, and it is
anticipated that the measure of help suggested would have the effect of
bringing land back to arable cultivation, and thereby achieve the results
which all parties in the State desire to see. The objection raised to a
subsidy on cereals is that the unscrupulous farmer could, if he so wished,
exhaust his land merely for the sake of the subsidy. This, however, is not
possible under the present recommendations. That the proposed subsidy
will be subjected to criticism of various kinds is a foregone conclusion.
Mr. C. S. Orwin, who signed the repo* , subject to reservations, is doubt-
ful of the practicability of the scheme, partly on the groimd that the
average taxpayer, whose knowledge of good farming is us\aally limited, will
object to payments made for land undergoing a rest from crops or only pro-
ducing food for livestock. It is only fair to point out that it has also
been a common mistake on the part of many famers to look at the cost of
the root fallow as applying to that particular crop alone instead of
spreading the cost over the other crops in the rotation, all of which
benefit. One point in particular which merits attention was raised by
Sir Douglas Newton, M.P., who said that the rental, assessable or narket
value of the land ought to be taken into account. This introduces many
issues. Generally speaking, the most fertile land is the most highly
rented and the standard of farming of a high order. Such land bears the
bnmt of a depressed period better than poorer land, which is the first to
go out of cultivation. Whether it would introduce too many complications
to give most help where most needed is perhaps the greatest consideration,
for a flat r%te is easiest to administer. There are three partners in our
present agricultural system— the landlord, the labourer and the farmer. The
prosperity of all three is largely interwoven. If the farmer is unable to
pay the standard wages, he is compelled to change his system of farming,
and usually it is the labourer who suffers. As Lord Clinton, the chairman
Vol. XVIII. No. 48
of the Special Coranittee pointed out, farmers can not te "blamed for this
condition, having regard to unrestricted foreign competition and the heavy
"burdens which the State, "by comparison, imposes upon our agricultural
system. The menace of imemployment in the towns is sufficiently acute to
call for action to prevent any further migration from the country to the
towns. The Committee has outlined in the second part of its report
various schemes where"by the industry may ultimately "be made prosperous on
a self-supporting hasis; hut the suhsidy is only suggested as a temporary
expedient until the effects of a more pennanent policy are felt. The
permanent policy concerns education, small holdings, improved credit, the
"better marketing and transport of produce, the steadying of prices, land
drainage and liming." • ■
Farm Outlook An editorial in The Washington Post of Aug. 24 says: "A few hard,
cold, indisputable facts that percolated through the news of the last
week tersely state the condition of the American farmer to-day. The
agriculturist is "buying farm implements and equipment for next year's work
on a scale that has not heen paralleled in years. He does not spend his
money for the tools of his calling and devices designed to save la"bor and
increase production at a time when he is in debt and can not meet the^ ^
interest on the faim mortgage. The farmer may not he 'sitting pretty' m
every sense of the word, but his situation is so vastly better than it
has been for a long time that he looks into the future without fear.
Tractors led fam equipment sales throughout the first half of this year,
according to the research department of the National Association of Tarm
Equipment Manufacturers. Plow and tillage to61 makers report the first ^
half of the current year ahead of 1924. The tendency toward larger equip-
ment to eliminate man and horse labor is more marked than at any time in
the history of the tractor's development. Every industry identified with
the manufacture and distribution of farm machinery reports unusual in-
creases in its business, ranging from 20 per cent to 50 per cent during
the first half of 1925 as compared with the same period a year ago. Earn-
ers, undoubtedly, are preparing to till every available acre this fall
and the coming spring. Prices of farm products have gradually increased
and with the installation of labor-saving implements and the further de-
velopment of cooperative selling agencies, the outlook for the agricultur-
ist seems to be a most happy one, portending large crops, good prices and
a season of unbounded prosperity, notwithstanding the gloomy forecasts
made by some political pessimists."
Grape Embargo A New York dispatch to the press of Aug. 25 says: "Railroads ^ /
throughout the East have placed their annual embargo on the transconti-
nental shipment of grapes to regulate the flow of that perishable commod-
ity. Freight agents explained that every year at this time the flood of
grapes necessitates curtailment of shipments to prevent heavy loss."
Paper from Experiments with wild grass as paper-making stock proved highly
Grass successful in tests concluded yesterday at the Bureau of Standards. The
material used, the bureau reports, was partially pulped esparto, ..a wild
grass indigenous to southern Spain and northern Africa. The result of
the tests were received with interest by the paper and printing industry,
it was stated, the result showing esparto grass not alone makes a superior
product for book making, but can be obtained more economically than sever-
al kinds of fiber now used. Samples of partially pulped esparto, used in
the experiments, gave after cleaning, the bureau reports, a 60 per cent
yield of paper-making fiber, the finished product being much stronger than
soda pulp paper. (Washington Post, Aug. 25.)
■■/•/'■
■ ■ ■)
r
Vol. XVII I. No. 48
- 4 -
August 26. 1925.
Section 3
■ t/IAEKST QUCTATIOITS
?arm Products August 25: Chicago livestcclc prices: Hogs, top $13.10; "bulk
of sales $11.10 to $12.90; medium and good "beef steers $7.25 to $14,25;
"but-cher cows and heifers $3.85 to $12.50; feeder steers $5,75 to $8o75;
light and medium weight veal calves $10 to $13.25; fat lamhs $13 to
$14,85; feeding lamhs $14 to $15,50; yearlings $9.25 to $12-25; fat ewes
$4.50 to $8.25.
New Jersey Irish Cohbler potatoes ranged $2.45 to $2.85 sacked per
100 Ihs. in most eastern cities, and brought $2.25 to $2.45 f.o.h,
Northern and Central New Jersey points. Northern Round Whites ranged
$1.90 to $2o05 on Chicago carlot market. Maryland Delaware Green Meat
cantaloupes ranged 50^ to $1.50 per crate in Eastern terminal markets.
North Carolina and Georgia Thurmond Grays 24-30 Ih. average, ranged
$175 to $300 hulk per car in Eastern markets. Alabama sweet potatoes
sold at $1 to $1.50 per bu. hamper in Chicago and Cincinnati. Tennessee
Nancy Halls brought $1.65 to $2 per bu. in St. Louis and Chicago.
Grain prices quoted: No.l dark northern Minneapolis $1.57 to
$1.70. No. 2 red winter St. Louis $1,73 l/2 to $1.80; Kansas City $1.73.
No. 2 hard winter Chicago $1.61 l/2 to $1.62; St. Louis $1.64 to
$1.64 1/2; Kansas City $1.62 to $1.58. No. 2 mixed com Chicago 99^;
Kansas City 92 I/2/. No. 2 yellow corn Chicago 99 3/4(^ to $1,00 1/2;
St. Louis 98 1/2 to 99^; Kansas City 97^, No. 3 yellow com Chicago
98 1/2 to 99 1/2^. No, 3 white com Chicago 98^. No. 2 white oats
Kansas City 39 1/4 to 39 I/2/. No. 3 white oats Chicago 38 I/2 to 39/;
St. Louis AQ^,
Average price of Middling spot cotton in 10 designated spot
markets declined 23 points, closing at 22. 88^ per lb.; New York October
future contracts declined 26 points, closing at 22.979$. (Prepared by
the Bu, of Agr. Econ.)
Aug. 25, Aug. 24, Aug. 25, 1924.
143.18 142.76 103.52
103.38 103.53 89.82
(Wall St. Jour,, Aug. 25.)
Industrials and Average closing price
Railroads 20 Industrials
20 R.R. stocks
DAILY DIGEST
Prepared in the United States Department of Agriculture for the purpose of presenting all shades of opinion aa
reflected in the press on matters affecting agriculture, particuiariy in its economic aspects. Responsibility, approval
or disapproval, for views and opinions quoted is expressly disclaimed. The intent is to Teflect accurately the
news of importance.
Vol. XVIII, No. 49 Section 1 August 27, 1925.
AGRICULTUEAL OUT- An Associated Press dispatch from Chicago to-d'dj sa;/s; "Two
LOOK IIT MIDWEST Trords "beginning with 'B^—cetter and l-.^impe >--?7ere the prsdcmanant
note of reports from agriculture throughout, "the Midweat yesterday.
Several sections reported husper crop«, many reported l):;tt3r crops,
and all heard from reported hotter prices for farm produces, out the high note was
the report of better • financial conditions,' wiiich came from comiri.-uai ties where early
freeze and later drought severe] y daraaged crops- In tho^.e sections, the farmers
faced their ancient field enemies huoyed uo ty the prospect that "better prices and
iGttev iDUriiness conditions wcuj.d more or less offset, na-cure. Statistics compiled
by the National Eank of Coirmerce of St. Louis stated that V7hile, three years ago, a
given quantity of farm products when exchanged for indust rial_. goods, was worth only
68 per cent of its 1913 exciiange value, now its worth was 97 per cent."
PUPLIO ■0O;aA.II^ A Salt lake City disiDatch to the press to-day says; "The suh-
iirviiSTiC-ATIOW ccmriittce of the Senate Conmittee on PuhL.uc Lands hegan yesterday its
field investigation of the nation's putlic dcmajn problem, a problem
J-'^^'^ol-7\r\s, th;j aduinistration and utilisation of a vast area of Feder-
al owned ^orest, prairiey, Indian reserv^ations, mineral lands and national parks in
the eleven so-called puhijc land States of the far West and Southwest. The investi-
gation, in trie opinion of the Ccmmittee, is of far-reachir-s importance to the
coontry invoi~xng as it does, not only the rehabilitation arl pe/--Gfc.ation of the
weotern livestock industry, but the living problem of every family in the land. The
Hearings to-cay were over the naticnaji cattle and sbeep growing organisation. The
executives of those organizations declared that a situation exists the gravity of
wnich the country at large has per- ir.lsxitly refused to recognize. It was asserted
tnao at this moment from 25 to CO per cent of the cattlemen in the public land
I f II are bankrupt and that of the remainder fully 90 per cent are laboring under
a aeot load, tne further increasing of which would send most of them to the wall."
COFFEE FUTU5ES A New York dispatch to the press to-day says; "Influenced by
a firm market in Brazil, following recent retjorts of unfavorable
f,,f,,^ . ' . weather for the start of the ccu.ing crco, prices in the coffee
tutures maricet here advanced sharply yy^-:,-r,:>i.^- v' ' '
^'^'^Jf^,^^'" Associated Press dlsxv-toh from London to- ay says: "The
i-LymEilT number of rr.employed persons in Great Britain continues to mo-ont.
The increase last week, according to figures issued yesterday, was
29,000, bringing the total to 1.298,000."
701.XVIII, No- 49
- 2 -
Au^st 27. 1925.
Section 2
Agricultural An editorial in The Rural Uew-Yorlcer for August 22 sajst "All
HRevolutions" over the country are sections, larger or smaller, where industrial
revolutions are going on quietly and usually without great notice. These
are the sections where farmers specialized on some one crop to the neglect
of most others. Among such sections may he mentioned the tohacco-gr owing
regions in the Connect icut-oATal ley and the hop-growing regions in Central
New York. In former years many farmers who grew these crops did not even
attempt to produce the vegetables or fruits needed in their own homes.
The coming of prohihition has greatly curtailed the demand for hops, and
farmers ha\® "been forced .to find new crops. In many cases a good suhsti-
tute has "been found in psas. There are had seasons, "but one year with
another the peas pay fairly well and are not so hard on the land as hops.
In one limited section of the Hudson Valley it was found that cauliflowers
grow well, and a good many dairjrmen, disgusted with the milk sittiation,
are giving up some' of their cows and feeling their way into the new crop.
Farmers in the Connecticut Valley grow a high quality of wrapper tohacco.
Fashion and habit drive the public to the use of cigarettes and pipes, so
that there is less demand for wrappers for cigars. This means that less
land will he needed for tobacco, and new crops must be found. Farmers
are trying out potatoes, garden track, melons and similar products. They
will finally strike something just suited to this rich tobacco land, and
thus develop a full substitute. These things represent what we. call
silent industrial revolutions. They are starting everywhere, and there
is no use trying to hold out against them. The char^ge began years ago,
when the cheaper graJ.n and meat for the West began to flood in upon the
East and monopolize the markets." . - ■
Air Trans- A London dispatch to the press of Augast 22 stated that an air-
portation ship milk route direct from Jersey dairy farms to London's central
markets was announced August 21. Tlie planes will also carry fresh veg-
etables. A servi-ce will be established between Channel island truck
farms and the Covent Garden retail miarkets, whereby green stuffs, milk,
butter and eggs may be on sale two hours after their arrival. The service
will use swan-type plaueSs wxth Napiei'-Lyon hydroplane engines.
Faming An editorial in The Country Gentleman for August 22 says;
Fundament- "Fundamentally faming and manufacturing have much in common. Both use
als raw materials, labor, capital and management to turn out a more or less
finished product. Both are obliged to meet open competition, both have
marketing problems to solve and both are likely to run into periods of
overproduction. Nor does the similarity stop there. In manufacturing
it is a well-known fact that success or failure hinges largely on four
fundamental considerations; A location within easy reach of markets, near
a plentiful supply of the principal raw materials, where there is an
adequ&te supply of trained labor, and where power is cheap and plentiful.
If a manufacturer ignores one of these fundamentals he -S foredoomed to
failure, because he will be unable to produce as cheaply as competitors
who are more advantageously located. Farmers in locating their farms
have seldom considered all these factors. They have looked for cheap
land or fertile land or very often have been carried away by a spirit of
romance and adventure and have planted themselves in isolated mountain
valleys or on arid plains far from markets. Men who have thus pushed out
on the frontiers are doing valuable pioneer work, but they have deliber-
ately handicapped themselves at the start. They are in exactly the same
Vol. XVIII. No. 49
- 3 -
August 27. 1925.
position as a manufacturer whc would erect a great steel plant in Omaha
or Wichita and attempt to compete with the steel plants at Gary, at
Pittsburgh or at Birmingham. Woat can "be done for the farmer who is un-
fortunately located? There is no simple answer. Cooperative marketing
will not wipe out the handicap, neither will legislation. The problem
is individual and can he solved only by ingenuity or good management if
it can be solved at all. If the handicapped farmer can grow a high.-
quality specialty product or can increa^se his yields and decrease the
costs of production sufficiently, or if he can grow a highly concentrated
and valuable product, his location may not be a hindrance. If he can
not arrive at some such solution only two co\irses of action present them-
selves—to go out of business or to accept a standard of living com-
mensurate with his handicap. Those who believe that some sort of politi-
cal program can be devised that will insure complete equalization of all
farmers, regardless of climate, quality of land, efficiency of management
or distances to market, are only fooling themselves. Whoever accepts a
handicap in any race is obliged to race just a little faster in order to
win. It would be much pleaeanter to offer some ingenious scheme cal-
culated to remove all the handicaps, but common sense will tell anyone it
is impossible. We may just as well face the facts — even if they are un-
pleasant . "
Railroad An editorial in The Wall Street Journal for August 25 says:
vs. "Slowly the tangled situation that has come to surround the bus-railroad
Motor Trans- rivalry is beginning to be so]ved» — ^as all assumed problems are in
portation due time, — and the confusion dissolved. The lines both of legal equity
and of economic sense become gradually clearer in the testing, disput-
ing and working out of experimentation. Apparently there is not to be
a complete revolution, in the way of usuipation or abdication. That
conclusion is s-uggested by the finding of the Massachusetts utilities
commission as to the rights it sanctions for the New Haven railroad to
go into the motor bus business in southern New England. It grants per-
mission for two importamt inter-city ro^i.tes, with five others to; come up
for decision later. Local permits must come from communities traversed.
The New Haven is adjudged to be the proper and logical enfranchised pur-
veyor of transportation by oil and rubber where in earlier days it had
been so commissioned— and held responsible — in terms of steam and steel
rails. The. economic Rrisdom of such selection of agency to accomplish
the end of furnishing bus transportation would not seem to need much
emphasis, when the recent career of some free lances in that field is
recalled, so far as capability and reliability, techjiical or financial,
might be concerned. Beyond that is the title of equity which the super-
vising commission notes. The New Haven, it is cited, had been long
first in that field, and had steadily been the victim of the tendency
to change. It had built up over the years a ' ig business in passenger
traffic which it was its right and duty to guard and co-' serve. It has
tried all suggested expedients for linking oil and steam, such as gaso-
line rail cars. But all such expedients fail to cover the entire field.
The motor bus is just new the obvious means for getting back some or all
of the lost traffic and of protecting what still remains. That claim is
emphasized by consideration of what the loss has been to stockholders
during a period when their property was being devoted to public use and.
service without remuneration. Also by consideration of the heavy tax
bill that the road has been paying all along into the public treasury.
Most of all, the public can't afford to let the New Haven be crippled or
perhaps destroyed as a carrier. To it the tilling of the new harvest be-
longs by virtue of both its own and the community's right and interest."
Vol.XVIII. No. 49
August 27. 1925.
Section 3
IVL4RK3T QUOTATiOKS
Farm Products August 26; Chicago hog prices closed at $13»30 for the top ,
$11 to $12»90 for the hulk. Mediuia and good beef steers $7 to $14„25|^
"butcher cows and heifers $5„85 to $12»50-; feeder steers $5.50 to $8»?5?
light and medium weight ver.l calves $10 to $13.50. Fat lamhs $13 to
$14.85; feeding lamhs $13.75 to $15.50, yearlings $9.25 to $12.25: fat
ewes $4.50 to $8.25.
New Jersey sacked Irish uohhlers ranged $2.50-$3.60 per hundred
pounds in Eastern cities; $3 in Boston. Minnesota sacked Early Ohios
$2-$2.50 in midwestern cities, $i.85-$l.S5 on the Chicago carlot market.
Georgia and North Carolina Thuimond Grays declined $50-$100 at $200-
$300 bulk per car in Eastern markets. North Carolina sweet potatoes
yellow varieties sold at $3..5C-J^4„50 per barrel, Virginia yello'^.s $4»
$4.73; at Eastern shore points, Virginia $3.50 f.o.b, Fer Jersev
Elbert-i.s $2.75-$3.75 per six-basket carrier and bushel basket i^ Eastern
cities.
Closing wholesale prices on 92 score butter to-day: New- York
43 3/45^; Chicago 43 3/4(^: Philadelphia 44 l/2^; Boston 44;^. J_
Grain prices quoted Aug-ast 26: No.l dark northern, Mir^ieapolis
$1.55 l/2-$l.G9 i/2. No,l norUiern, Chicago ^1.60, No, 2 red winter,
St. Louis $1.70-$1.74; Kansas C-ty $iv72'-$lo73; No. 2 hard winter. Chicago
$1.58 l/2-$1.61j St." Louis $1.62; Kansas City $1.58-$1»69. No.2 mixed
com, Chicago 95 1/2-97 cents^ Kansas City 89-89 l/^i- No.2 yellow com,
Chicago 96-98 cents; St. Louis 97 cents; Kansas City 95 cents. . No.3
yellow com, Chicago 95 ]./M7 1/4 cents; Minneapolis 90-91$?. No. 3
white corn Chicago 95 l/£-9G l/2'cenoS. No.2 white cats,- Kansas City •
39 1/4^", No. 3 white oat!5, Chicago 38 I/MS cents; Minneapolis' 35 3 /4-
35 i/2^; St. Louis 40 1/2-41 cents.
Average price of Middling spot cotton' in 10 designated snot markets
declined 24 points, closing at 22. per lb.„ New Yo^k October future
cont:.acts declined 18 points, closing at 22'.'795t. (Prepared by Bu. of
Agr, Econ.)
Industrials and Average closing price A.ug. 36, Aug. 25, Aug. 2^, 1924
Railroads 20 Industrials' l4i.88 I4:i.l8 103-58
20 R.R. stocks 103.08 10.S.38 89.81
(Wall St. Jour,, Aug. 27.)
t
ilii
DAILY DIGEST
Prepared in the United States Department of Agriculture for the purpose of presenting all shades of opinion as
reflected in the press on matters affecting agriculture, particularly in its economic aspects. Reeponsibility, approval
or disapproval, for views and opinions quoted is expressly disclaimed. The intent is to reflect accurately the
news of importance.
Vol.XVIII. No. 50 Section 1 August 28, 1925.
FBEIGHT PLANE An Associated Press dispatch from Atlanta, Ga. , to-day says:
LINE "The Atlanta Journal yesterday announced that Cornelius Vanderhilt , jr. ,
and associates have purchased, or have under option 11,000 acres of
land, near Atlanta, on which will he estahlished the third largest
commercial air "base in the country. Mr. Vanderbilt, who is a member of the research
council of the National Air Transport Co,, is quoted as saying that the group repre-
sent the leading engineering and financial interests of the country. Many local men
also have heen assisting him. Development of the plans will require about five years.
Facilities for the handling of dirigibles as well as airplanes, will be provided.
Atlanta will be used as a center for lines which will run West by New Orleans and
South through Florida to Cuba. 'Our planes will carry freight, express and mail, but
no passengers , • Mr. Vanderbilt is quoted."
PUBLIC DOMA.IN A Salt Lake City dispatch to the press to-day says: "This was
INVESTIGATION a lively day so far as the Senate Public Lands Committee is con-
cerned. In two long sessions, one in the morning and the other this
afternoon, the committee heard men prominent in the livestock industry
of Utah denounce as a »curse' the existing 640-acres homesteading law; they heard the
forestry Service subjected to bitter criticism, and even listened to a witness, a
high official of the Utah Cattlemen»s Association, seek to justify the shooting of
herders and the driving of sheep over precipices by cattle men whose grazing lands
in the public domain had been invaded by the sheep growers.. .The committee leaves
tonight for Yellowstone Park, and will hold its first hearing there tomorrow morning'.'
IMMIGRATION An Associated Press dispatch from Washington to-day says: "The
PLAN Labor Department's new plan of examining prospective immigrants abroad,
which was placed into effect several weeks ago in American consulates
in Great Britain and the Irish Pree State, has succeeded beyor4 the
hopes of Secretary Davis, who returned home yesterday from a European trip. Declar-.
ing the new system has solved one of the greatest problems in the handling of immi-
grants, Mr. Davis expressed the belief that within a short time the plan will be ex-*
tended to include all the principal countries of the world."
RUBBER SITUATION A London dispatch to the press to-day says; "An easier feeling
exists in regard to the supplies of crude rubber, but this must not be
taken to indicate that all cause for anxiety is past. The more re-
assuring outlook springs from the fact that definite action on the part of the Gov-
ernment is anticipated that will either bring the operation of the Stevenson scheme
to an end earlier than originally intended, or, alternatively, very drastically modi-
fy the restrictions on output in the interests of an increased supply. Although the
Colonial Office stands resolutely by the scheme and its continued operation, and has
teen at some pains to justify its policy, the belief is current in the best informed
circles in Mincing Lane that the Foreign Office will step in and insist on a sane so-
lution of a difficulty that has given, and is continuing to give, rise to very acute
resentment, international in its scope and effect."
Section 2
The New York Times for August 24 says: "Believing that raore than
100,000,000 bushels of vcheat in excess of last year's supply will he
available for export in Canada this season, the Canadian l^'ational Millers'
Association petitioned the Federal Government for an export tax on wheat
shipped to the United States to he milled for export tc European markets.
The matter was referred to the Royal C-rain Inquiry Commission, which has
just filed its report finding that Canadian wheat, gro^ond in American
mills', enters into competition with the output of Canadian flour mills, as
the result of which the Dominion loses the benefits of manufacture. The
report suggests that in view of these conditions an export duty should
be levied at the same rate as in the American tariff on Canadian wheat
and wheat products entering the United States. The commission states
that it deprecates export duties generally, but believes that the excep-
tional situation justifies the impost A Canadian pacific Eailway bulle-
tin makes the following comment on the report: 'Because the quality of
Canadian wheat makes it greatly desirable for milling purposes, other
milling countries can offer the Dominion effective competition only
through the use of Canadian wheat in their manufactured products- It is
the unlimited supply at her command which has built up Canada's manufact-
uring and export industry to its present great amportance. Effective
measures to keep Canadian wheat at home would practically eliminate com-
petition in high-grade flour.'"
An editorial in The Prairie Farmer for August 22 says: "The west-
ern railways have reduced their request for an increase in freight rates
from 11 to five per cent. They can get by on a five per cent increase
although they will earn less than the amount allowed by law, according to
Vice-President Johnson of the Northwestern. He says that a five per cent
increase is absolutely necessary if service is to be maintained. President
Sargent of the Northwestern calls attention to some of the causes of the
difficulties of the western railways. One of these is the Panama canal,
which cuts heavily into the coast business of the railways. Coastwise
shipping uses the canal free. Taxpayers pay the cost of operating the
canal. 'Taxpayers pay more per ton mile to put freight through the canal
than they are paying in rates per ton mile on the railroads' , says
President Sargent. He also calls attention to truck and bus competition.
Railroads pay for their own roadbed and pay taxes on it. Trucks and buses
operate on a free public roadbed and pay only nominal taxes. These things
can be remedied, and should be if we are not to face a steadily ascending
scale of freight rates. Without disputing the railroads' need for more
revenue, farmers might well ask for a readjustment of the whole freight
rate structure. A study of preferential rates in favor of large cities
and large industries would bring out some interesting facts. Railroads
must have the necessary revenue to enable them to operate efficiently. We
do not believe that it should come from farm products. It is quite likely
that the removal of unfair competition and a readjustment of preferential
rates will give the railways the money they need without placing a heavier
freight burden on agriculture."
i- The German Rentenbank, created in November, 1923, as a transition
bank of issue, has been reorganized and is now the Central Credit Insti-
tute for German Agriculture. Initial capital is 180,000,000 markd. In
the next seven years 25,000,000 marks every year are to be addgrd annually
to the capital. There are prohibitions against the acquisition of domest-
ic credit, acceptance of deposits and direct credit extension. Credit
vn] .XVIII. No. 50
_ 3 _ Augist 28. 1925.
must te given through subsidiary institutions which must he fully protect
ed hy a mortgage on domestic agricultural real estate. The Rentenhank is
authorized to contract foreign cretits up to a total of 1,800,000,000
marks and to extend this credit through subsidiary agricultural credit
institutions. The Rentenhank is free of all federal, State and comm^jnal
taxes not imposed upon agricultural credit banks and it is free from all
incorporation taxes. (Wall Street Journal, Aug. 26.)
\Vheat Acreage John F. Tennelly, writing in Commerce and Finance for August 26
says: "The Department of Agriculture has just issued a report stating ths,
the intended winter wheat acreage for this fall is 46,411,000 acres, an
increase of 4,094,000 acres, or 9.7 per cent over the winter wheat acreaf
sown last fall in the United States To the casual onlooker this in-
crease may seem to indicate a further step toward permanent agricultural
prosperity in the United States. To the informed observer, however, it
will show a lapse from sound economic policy and a possible loss of much
of the ground gained by our farmers during four years of painful deflatic
Secretary Jardine has been urging strenuously for some time past the
necessity of putting agricxzlture on a sound business basis, and now the
wheat growers appear to be flying directly in the face of the most ele-
mentary of business principles. No successful business man would dream
of expanding his plant capacity irrespective of the probable demand for
his product. And yet this is exactly what our wheat growers seem to be
doing. It is clearly beyond the scope of a Government body, such as the
Department of Agriculture, to urge restriction of wheat acreage, but the
lesson implied in this report is so clear that the wheat farmer will have
no one but himself to blame if he chooses to ignore the inherent danger
involved in expansion of acreage under present conditions. It almost
seems as though two years of prosperity,, attained not by foresight, but
chiefly by good luck, had been sufficient to make our wheat growers for-
get entirely the painftil lessons of the three previous years..,. The appli-
cation of business principles to agriculture means above all else the
proper adjustment of production to demand, and not the reckless planting
of a huge acreage merely'- because prices have been abnormally high during
the past twelve months. The wheat farmer should realize that his present
prosperity is the result of good fortune rather than of shrewd business
foresight, and that he is clearly gambling with fate if he expects this
good luck to continue forever. If, as appears indisputable to the writer-
wheat farming in the United States can not be permanently stabilized unti,
production coincides closely with our own domestic requirements, the in-
tended winter wheat acreage is at least 20 per cent too large. Our ann^os
domestic requirements are calculated approximately at 625,000,000 bushels
and an average yield on the present winter wheat indica.tions would almost
meet our entire national needs, without taking the spring wheat crop into
consideration at all. Price stability does not seem likely under such
conditions. It is not necessary to advocate a monopolistic combination
among our farmers for the purpose of holding up the price of wheat, even
if such a combination were economically feasible. The past two years hav
shown, however, that the whole Nation prospers when the wheat growers are
making money. And our farmers, except under tuiusual circumstances of ab-
noimally low cost of production, are not going to prosper if they insist
on raising a huge surplus for export. If American farm leaders would
start a campaign to effect a 15 or 20 per cent reduction in the winter
wheat acreage to be sown this fall, they might do more for agriculture
than they could by all the 'radical' legislation yet suggested. Business
principles in agriculture imply diversification, but, say the agrarian
Vol . XV III. No. 50
4 -
August 28. 1325,
leaders .diversification is a slow and difficult process requiring a great
deal of capital and labor. This is undoubtedly txue, "but the present af-
fluence of our agriculturists permits a degree of diversification that
was entirely out of the question two yeard ago. The lesson of the past
four years is too self-evident to he overlooked by even the most ignorant I'
Section 3
MAEZET QUOTATIONS
Fairn Products August 27, 1925: Chicago hog prices closed at $13.45 for the top;
$11 to $13 for the bulk; medium and good beef steers $7 to $14.40; butcher
cows and heifers $3»85 to $12.50; feeder steers $5.25 to $8.75; light and
medium weight veal calves $10 to $13*50; fat lambs $13 to $15; feeding
lambs $13.50 to $15*50; yearlings $9.25 to $12.S6{ fat ewes $4.50 to
$8.S5.
Potato. .• prices slighily lower. New Jersey sacked Irish Cobblers
ranged $2.35 to $2.65 per 100 lbs. in Eastern consuming Centers; $2 to
$2.35 f.o.b. New Jersey points. Northern Round TOiites $1.90 to $2.15 in
Chicago. New Jersey Elberta peaches ranged $2 to $3.50 per six-basket
carrier and bushel basket in teztoinal markets. Watermelons declined.
North Carolina and Georgia Thurmond Grays 25-30 lb. average sold at $175
to $240 bulk per car in Eastern cities. Sweet potatoes weaker in most
markets. Virginia yellow varieties $4.25 to $4,50 per bbl.; reaching
$5.25 to $5,50 in Pittsburgh. Colorado Iceberg type lettuce lower at $2
to $3 per crate; $1.75 to $2 f.o.b. Colorado points.
Grain prices quoted: No^.l dark northern Minneapolis $1*56 to
$1.71. No. 2 red winter St. Louis $1.71 to $1.75; Kansas City $1.72 to
$1.73. No,.2 hard winter Chicago $1.58 l/4 to $l'.60; St. Louis $1.63;
Kansas City $1.60 to $1.57. No.2 mixed com Chicago 93 1/4/ to 94 l/4/;
Kansas City 88 l/2^ No.2 yellpw com Chicago 93 3/4/ to 95 I/2/;
St. Louis 95/;. Kansas City 93 I/2/. No. 3 yellow com Chicago 93 to 94/;
Minneapolis 91 l/4 to 92 l/4/; No. 3 white corn Chicago 92 I/2 to 94/.
No. 3 white oats Chicago 37 3/4 to 39/; St. Louis 40/; Minneapolis 35 7/8
to 36 1/8/;. No.2 white oats Kansas City 39 to 39 1/4/.
Closing prices, 92 score butter: New York 44 I/2/; Chicago
42 1/2/; Boston 44 I/2/; Philadelphia 45 1/2/.
Closing prices on Wisconsin primary cheese markets August 26:
Daisies 22 I/2/; Young Americas 22 l/4/; Longhoms 22 3/4/; Square
Prints 23 1/4/. / /-» h
Average price of Middling spot cotton in 10 designated narkets
declined 6 points, closing at 22.58/ per lb.; New York October future
contracts declined 1 point, closing at 22.78/. (Prepared by the Bu, of
Agr. Econ. )
Industrials and Average closing price Aug. 27, Aug. 26, Aug. 27,1924
Bailroads 20 Industrials 141.54 141.88 103.23
20 E.R. stocks 102.88 103.08 89.85
(Wall St. Jour.. Aug. 28.)
DAILY DIGEST
Preoared in the United States Department of Agriculture for ths purpose of presenting ali shades of opinion as
reflected in the press on matters affectiag agriculture, particularly in its economic aspects. ReBponsibility, approval
or disapproval, for views and opinions quoted is expressly disclaimed. The intent is to reflect accurately the
news of importance.
voi.rnii. No. 51
Section 1 , Augxist 29, 1925.
JOINT STOCK JAW Delegates from fifty-^-six joint sto:k land banks will attend
BANK CONVENTION the seventh annual convention of the Joint Stock Land Bank Associa-
tion, to be held in Colorado Springs, CoJO.. Ssptember 1 to 3. The
most important subject to be discussed will be ways and means to re-
duce the interest rate on loans to farmers. This rate has been reduced to 6 per
cent in recent years, and the Joint Stock Land Bank Asscciation now aims to bring
atout a further reduction to &| per cent and eventually to 5 per cent. (Phila.
Public Ledger, Aug. 29.) . ■ ■
AGRICULTURAL An editorial in The Washington Post to-day says: "Conditions
SITUATION among the faTroers are so much better, according to reports from the
West and Northwest, that there is a continually growing demand for
good farm lands. This demand, it is said, is principally from men
vfho two years ago, when the agricultural depression was at its height, sold their
farms and moved to the city. The hard times among the fanuers began in 1921 but
did not reach an acute stage until two years later, when wheat sold under a dollar
a bushel. This year com, cotton and livestock are in better shape than for several
years. Six wed^s ago official estimates indicated the cotton crop wouJ.d fall con-
siderably short of normal, but conditions have improved materially 'in the last ^ew
weeks and the crop promises to be much better than had been expected. In some sec-
tions of the South agricultural conditions are not so good, notably in Tennessee,
parts of Kentucky, North and South Carolina and Virginia, where a severe drought has
continued unabated for many weeks. Without food or water to provide for their stock,
farmers are selling their cattle. Happily, this condition affects only a small
percentage of the farmers. It is in the western and northwestern agricultural re-
gion that conditions have ijnproved so greatly that the farmers are beginning to wear
a smile of contentment. Residents of cities ordinarily give little attention to the
condition of the farmers, although it should be patent to every one that the pros-
perity of the urban population is dependent in large measure upon the prosperity of
the farmer. .. ,Tlie administration has indicated that farm legislation of some char-
acter will be included in the recommendations to be made by the President in his.
opening address to the Congress. Mr. Coolidge has beei, giving diligent attention to
the reports made to him by men who are presumed to know something about the farmers^
needs, as he has to all other questions that engage the attention of the country.
Whatever may be the temper of Congress relative to farm legislation,; it is gratify-
ing that conditions among the agriculturists are on the upgrade and that there ap-
pears to be no danger of a repetition of the serious situation that existed in 1923."
HEIGHT PLANE An Atlanta, Ga. , dispatch to the press to-day says:
SERVICE "Cornelius Vanderbilt , jr. , to-day announced that the commercial air
base he and associates have planned for Atlanta will be used by the
Navy's dirigibles, the Shenandoah and Los Angeles, in the event the
two ships are leased by the Government to a company in which John Hays Hammond, Jr. ,
and Owen D. Young are interested."
Vol . IV^III, No. 51
- 2 -
Section 2
Farm Problem An editorial in The Oklalioma Livestock rJews for August 24 saysj
"Irom the most ancient times until now philosophers have wrestled with
the problem: What is truth? It is as great a problem to-day as ever.
Another problem of the ages seems to be the real truth in regai'd to the
condition of farming and farmers, 'Most of the opinions on the subject
seem to have been formed from a survey of iiiimediately surrounding condi-
tions or to have been expressed with some ulterior purpose in view,'
declares the Omaha Journal- Stockman and says: 'For instance, we have
prominent bankers, statesmen and agriciiltural economists who point with
pride to the prevailing good prices for farm prod.ucts, the wiping out o±
debts, the purchase of farm implements, the improvement of faruisteads and
other tangible evidences of better times. Ihese men say the farmers are
recovering from three to fear years of severe depression and are enjoying
a period of prosperity that will soon place agricultm-e in a most enviable
position. 'Then there are equally prominent and well informed men who
hold the opposite view. Fomer Governor Lowden of Illinois told an
eastern audience not long ago that 'our agriculture is decaying. Farm
•bankruptcies in recent years have increased more than 600 per cent. Ac-
cording to the Department of Agriculture, the average farmer could have
obtained a larger income since 1920 if he had hired himself out as a
hired man. In considerable portions of the agricultural area farms can
not be sold for the value of the improvements alone.' 'TThen the doctors
disagree so radically it is difficult for the rest of us to arrive at a
correct opinion as to the facts. It seems to depend pretty much on the
individuiii point of view, and perhaps Governor Lowden' s pessimism is due
to the fact ^that he is an extensive dairyman and it is well known that
.just at that particular time the dairy business was the poorest it has
been for many years. At all events the ancients fo-und no more difficulty
with their problem, l/Jhat is truth? than we modern folks are finding with
our own problem: m^at is the matter with farming?'"
Freight An editorial in The Magazine of Wall Street for August 29 says:
Loadings "Weekly car loadings have passed the million weekly mark about six weeks
ahead of the usual time. With the crop-moving season just ahead, it
seems that the record for freight car movements will be broken. As a
whole, the carriers are in for the most brilliant period of their history
since 1916. Most encouraging of all, the Northwestern roads, as indicated
in another article in this issue, should be greatly aided by what appears
to be a certainty of a rate increase. With this large and important
groiip of roads again in a position to make a satisfactory earnings showing,
the railroads of the country, with only a few exceptions, seem to be in a
solid position. This i.hould improve the credit of the roads and pave
the way for new financing through sale of stock, something which has been
sorely needed by the carriers for a number of years, as their funded debt
has increased greatly out of proportion to their financial strength."
.Wheat Exports ^ An editorial in The Chicago Journal of Commerce for August 21 says;
"In his optimistic forecast of the financial returns of this year's wheat
crop, Gray Silver predicts a larger surplus for export and carryover than
do m.ost wheat experts. He predicts 44,000,000 bushels. Even if this
forecast proves true, the exoortable surplus will be small enough to give
the farmers a good price. The larger the exports, the greater the de-
pression in the world price. In addition there is this possibility — that
before the crop year is over, it may be discovered that the American m.ark-
et alone will consume all the wheat that is available for consumption, a
reasonable amount of the product being kept for carryover. Such a
Vol .mil. No. 51 -> 3 - AuCT.st 29. 1925.
development would place X7heat on an entirely domestic "ba^sis. If the
domestic demand were larger than the domestic supply-, prices ^jould rise.
No foreign supply would he availahle. The forty-two cent tariff would
keep it out. Before foreign wheat could enter, the domestic demand would
have to oe so much greater than the domestic supply that the price in this
country would rise to more than forc7-"t"'0 cents aho'/e the x^orid price.
Only then would it he profitahle to send foreign wheat into the American
market. Matters will have come to a remarkehle pass indeed if America
hecomes an importer instead of an exporter of wheat."
Section 3
IvIARKET QUOTATIONS
Earm Products August 28, 1925: Chicago hog prices closed at $13.50 for the top
and $11.20 to $j.3.20 for the hulk- medium and good heef steers $7 to
$14.25; butcher cows and heifers $3.75 to $12-50; feeder steers $5.25 to
$8.75; light and medium weight veal calves £10 to $13.50; fat lamhs
$13.25 to $15.25; feeding lamhs $13.50 to $15.50; yearlings $9.25 to
$12-25; fat ewes $4.50 to $8-25.
New Jersey sacked potatoes, Irish Cohhlers, ranged $2.35 to
$2.65 per 100 Ihs.; $3 in Cincinnati, Northern Round Itiites slightly
higher at $2 to $2,25 on Chicago carlot market. East Shore Virginia
sweet potatoes, yellow varieties, ranged $4.25 to $5-50 per hhl.; reach-
ing $5.75 to $5 in Pittshurgh; $3.50 to $3.75 per Vol. at f -o.h. Virginia
points. Colorado Salmon Tint cantaloupes ranged $1.50 to $2.25 per
standard 45 in terma:nal markets. North Carolina and Georgia watermelons,
Thurmond Grays, 24-30 lb. average, ranged $160 to $275 hulk per car in
New York and Pittsburgh.
Grain prices quoted: No.l dark northern Minneapolis $1.57 to
$1.72 1/2. No, 2 red winter St. Louis $1.73 to $1,74; Kansas City $1.74
to $1.75. No. 3 red winter Chicago $1.57. No. 2 hard winter Chicago
$1...58 1/4 to $1.59; St. 3.oais $1.62 1/2 to $1.63- Kansas City $1,63 to
$1.70. No.^ mixed corn Chicago 94 I/2 to 96^: St. Louis 93^; Kansas
City 88 to 89^ No. 2 yellow corn Chicago 94 3/4 to 96 l/2^; St. Louis
95i/; Kansas City 95^. No. 3 yellow com Chicago 93 3/4 to 95 l/2^;
Minneapolis 89 3/4 to 90 3/4^, No, 3 white com Chicago 93 "3/4 to
94 1/2/. No. 3 white oats Chicago 38 3/4 to 4o/; Minneapolis 36 5/8 to
37 1/8^; St. Louis 40 1/2^^
Closing prices, 92 score butter: New York 44 3/4j^; Chicago
42 1/2/; Boston 45.}^; Philadelphia 45 l/2$^.
Closing prices on Wisconsin primary cheese markets August 27:
Twins 21 lj?4'. Daisies 22 1/2^5; Double Daisies 22^; Longhoms 22 3/4/;
Square Prints 23 l/4rji5.
Avere.ge price of Middling spot cotton in 10 designated s^ot
markets declined 24 points, closing at 22.34/ per lb.; New 'York" October
future contracts declined 22 points, closing at 22.56(J?. (Prepared by
Bu. of Agr. Econ. ) . •
Industrials and Average closing price Aug. 28, Aug. 27, Aag. 28, 1924
Kaiiroads 20 Industrials - 141 „ 13 141,54 102,62
20 E.H. stocks 102.80 102.88 89.48
(Wall St. Jour., Aug. 29.)
Prepared in the United States Departmeat of Agriculture for the purpose of presenting all shades cf opinion aa
reflected in the press on matters affectiag agriculture, particilarly in its economic aspects. Responsibility, approval
or disapproval, for views and opinioxui Quoted is expressly disclaimed. Tha intent is to reflect accurately the
news of importance.
Vol. XVIII, No. 52 ' Section 1 August 31, 1925.
ROADS DELEGATES The press states that the United States delegation to the
IDI WASHINGTON Pan American Congress of Highways to "be held at Buenos Aires next
month, will meet at Washington to-day to take their leave of Govern-
ment officials. The delegation, headed "by Herhert H. Eice, of
Detroit, director of the National Automohile Chamher of Commerce, will visit Sec-
retaries Kellogg, Jardine and Hoover, all of whom have a direct interest in the
success of the conference. The party will leave New York Thursday. Stop-overs
will "be made at the principal ports of Panama, Peru, and Chile. Representatives of
a numtier of motor and machinery industries will accompany the party. The conference
"begins Octoher 3. The party is composed of Charles M. Babcock, Minnesota Commission-
er of Highways; Prank Page, chairman, North Carolina State highway Conmission;
Thomas H. MacDonald, Chief of the Federal Bureau of Puhlic Roads; Dr. Guillermo A.
Sherwell, secretary general of the inter-American Highway Commission; Representative
William E. Hull, of Illinois; Dean A. N. Johnson, University of Maryland, and Pyke
Johnson, Washington, who is executive secretary of the delegation.
STANIORD TO TAKE An Associated Press dispatch from San Francisco to-day states
BUEBANK'S WORK that the horticultural experiment work of Luther Burbank, aged plant
wizard of Santa Rosa, Cal., will he taken over "by Stanford Universi-
ty, which will raise an endowment fund to secure perpetuation of
Burbank^s services for humanity. Burbank' s gardens, near Sebastopol, will be taken
over by the university. The development of plant hybrids will be continued under
Burbank' s direction as long as he desires to remain active in the work.
CAES FOR GRAIN Calling attention to the necessity for continuing an effective
CROPS distribution of box cars to meet the country^ s demands in the move-
ment of the grain crop, the Car Service Division of the American
Railway Association has written a letter to all railroads, analyzing
the situation as follows; "Grain loading to date h-as progressed satisfactorily, with
little strain on the box car supply of the country. Winter wheat movement has been
considerably below last year, due both to a smaller crop and to more moderate market-
ing, It seems reasonably certain that similar conditions will not prevail in the
Spring wheat movement from the Northwestern States now getting under way. The crop
will be smaller than last year, but the reduction is comparatively much less than in
the case with Winter wheat. With wheat this year on practically a domestic basis,
little export demand has developed or is expected " (Press, Aug. 31.)
BREAD TRUST INQUIRY An Associated Press dispatch to-day states that the Peoples »
DEMANDED Legislative Service yesterday made public a letter to the Federal
Trade Commission demanding prosecution of the "bread trust" investi-
gation ordered in a Senate resolution sponsored by the late Senator
La Follette.The communication, signed by Basil M. Manly, director of the service,
said he had been informed that the commission had decided not to conduct certain in-
■^estigations provided for in Senate resolutions by Senators Norris, Shipstead and La
toilette.
Vol . XVIII. ^Jo. 53
- 2 -
kuf^ust 21. 1925.
Section 2
Airplane An editorial in The Herald-TriTsune for Aug. 12 s^ys; "^The United
Tranoporta- States,' in the opinion of Mr, Hoover, 'is just on the threshold of avia-
tion tion as a practical transportation system.' It is a threshold upon which,
in spite of the devoted efforts of aviation enthusiasts and the military
services, v/e have "been hovering very tentatively indeed for a long time.
It has always seemed a little queer that the nation whose open spaces de-
manded the invention and development of the telegraph and the telephone,
which pioneered in cheap long distance rail transportation, which has em-
hraced the radio and even insisted upon such minor novelties in communica-
tion as the electrical transmission of pictures, has made so little com-
mercial use of the one instrument which ought to fit so well with our geog-
raphy and our alleged passion for speed, But in the last six months the
aerial age has come much nearer; Mr. Ford has proved himself tmalDle to re-
sist the temptation of "buying up the plant with which his son has been ex-
perimenting and hringing his peculiar genius to bear on the question of
commercial airplane lines, while Mr. Hammond's proposal to lease the Los
Angeles as the experimental precursor of a dirigible fleet seems the like-
liest step which has yet been taken toward utilizing the navy's excellent
work on the gas bags ... .There are about 20,000 miles of commercial air-
plane lines now being operated in the world, which is not far from a tenth
of the total railroad mileage in this country. Our postal lines are about
all that we can claim, and Mr. Ford's about the only promise for the ins-
mediate future. We have lacked the incentive which Europe has found in
the strategic problem; it is probable that the high efficiency of our ex-
isting communication systems, coupled with the lack of aerial regulation
and uncertainty as to Federal policy, has hindered the American develop-
ment. But there is less and less doubt that the development is coming."
Bakery Merger An editorial in The Northwestern Miller for Aug. 26 says: "Stock
market gossip, never too dependable, but worthy of at least half an ear
when voiced by the Vfell Street Journal, forecasts the consolidation of at
least two of the great bakery combinations, with more than a chance that
three of them will ii.lfcimateiy come together in a gigantic 'bread trust.*
A fourth, more recently formed and strengthened last week through the ab-
sorption of a Chicago company which was formerly a unit of one of the
smaller combinations, doubtless is regarded as a more distant but equally
sure objective of the conrjuering merger manipulators — the greedy Alexan-
ders of the baking industry. Thus is the dream of the six hundred million
dollar trust, announced hardly more than a year ago, rapidly being real-
ized. How far it may go, how much the public will resent it, how much it
will dare in the face of that resentment, is yet to be made known. The
one thing certain is that, up to now, those whose aim is to encompass the
entire baking industry and bring it to rain as an independent industry
have paid no attention whatever to the public interest. Nor is it so far
apparent that there is any need that they should do so, for, aside from
newspaper headlines for a few weeks and a minor fulmination or two in
Congress, the bread consumer and the industries whose future wellbeing are
alike imperiled by the plans of the 'baking trust' are equally unconcerned.
....The six hundred million dollar dream of a few months ago is no less
preposterous now than it was then. Yet it is undoubtedly more nearly being
made manifest in the flesh. It will not, perhaps, reach its full propor-
tions, although, if the wind and water hold out, even that is not impossi-
ble. The mere fact that all of the bakeries in the country are not worth
that much money is of little or no moment. If they can be made worth
Vol. XVII I > No. 53
- 3 -
August 31, 1925.
that much by ability to take toll — a few millions from millers and a
great number of millions in the form of a cent or e^-en a fraction of a
cent on each loaf'-- the purposes of their organizers will be fully accom-
plished.*'
Boll Weevil An editorial in Manufacturers Record for Aug. 2? says; "From many
and Divers- points of view the boll weevil has been a blessing to the South. It has
ification saved thia section from committing economic suicide by increasing its
cotton production to the point where bankmptcy would have been the in-
evitable end of the whole cotton-^growing business. The boll weevil has
brought the farmers of the South straight up against this proposition,
and it has caused many of them to turn from all-cotton to diversified
agriculture. Viewed in the large, it is not surprising that the people
of Livingston, Ala« , erected in the public Square several years ago a
mon-ument to the boll weevil. What the boll weevil did in changing the
agricultural activities in southern Georgia and northern Florida is shown
in a story from Valdosta, Ga,, which tells how, out of poverty, prosperi-
ty has been wrought by the growing of tobacco where once cotton held sway
and practically enslaved the farmers, Tobacco has now become one of the
staple crops of that section, and fortunately its acreage is somewhat
necessarily limited on each farm, and this increases the tendency to di-
versification. In the Valdosta section, for instance, where the boll
weevil whipped the cotton growers, tobacco has now whipped the boll
weevil. All over the Sotith similar conditions are coming to the front.
Until this section freely diversifies its agrictilture, and finds new
things besides cotton on which to base its farming interests, there can
not be the general prosperity which should prevail. But where industrial
development malces possible a home market for all the diversified products
of the farm there is a limitless field for agricultural prosperity..
Tobacco growing in south Georgia is one way in which this movement is
doing good."
Cooperative An editorial in The Northwestern Miller for Aug. 26 says; "When
Marketing the market price of any commodity varies from day to day and month; to
month, either as the result of supply and demand or of artificial forces,
there is no such thing as a nonhazardous system of selling. The seller
may have good fortune and sell at the hi^ point, or ill fortune and sell
at the low. Selling a little every month or every day will not change
this, for the high price may last only through one month out of the
twelve or a few days out of the year. The element of chance is certain
to be present and can not be disposed of by any system, whether it be
through simple pooling, the fiction of holding back the commodity to
force a higher price, or any other scheme. Cooperative marketing is, no
matter what form it assumes, merely a co-ordination in taking chances
which the individual marketer otherwise would take for himself. Pools
succeed when they have the good fortune to sell a majority of their
pledged commodity on a high market; they fail when Cvonditions take a con-
trary course. There is no great harm in them so far as the grower is
concerned. It is merely a question as to whether or not he is willing to
pay toll to have some one else, presuiiably better informed than he, make
decisions for him. On the other hand, they are not likely ever to do
him any great good, for, on the average of a number of years, his own
selection of the time to sell will doubtless work out as well as theirs."
Vol.XVIII, No- 52 ^ 4 August 31, 1925.
Farmer Aid Htigh J. Hughes, V7riting in Nation^s Business for September says;
"It is quite apparent tliat in the press and on the platfcim there is a
marked falling off of interest in the proDlems that confront the farmer.
A study of recent farm legislation. State and national, both that at-
tempted and that put upon the statute books, looks in the same direction.
Observers of the cooperative movement take note of the fact that the semi-
religious fervor attending the organization of cotton, tobacco and like
sales organizations has measurably died dovm. All this is but saying that
another fad is nearing its end. This generation can remember the case
of the *domi- trodden workingman, The workingman still ezists, but we
have ceased to lose sleep over him. We may recall that the flaying of the
trusts was everybody's business twenty years ago. Larger trusts with
longer tentacles than those of old no longer frighten any save the most
timorou^-souled among ug. More recently we have had with us, for the de-
light of the alarmists, the farmer. I wish to separate in the mind of
the reader the outcries and alarms and dire forebodings relative to the
farmer and the farming business from the actual business and social
problems of the farmer. Men and women whose avocation in life was and is
the discovery of something that :s wrong with the world figure rather
prominently in each of these movements I have named. I am not calling
their sincerity into question. I am only stating the fact that the busi-
ness of a reformer is reform. He must find something wrong with the world
or lose his jcb. And he must hold his following or else cease to be a
leader. Any given problem in human affairs is good for only so much pub-
licity, so much stuirp oratory, so mach pay-as-you-go agitation. ... It is
this hue and ctj that has been pressing its service upon the farmer. That
interesting being was discovered to cthe public at large during the war.
He became a topic of national concern. He was first-page news. He was
good for an hour's pulpit oratory.. Commercial clubs and women's clubs
took him up. And then something happened. Right when he was the sheik
at; the matinee the war stopped, the explosive effort of the world to wage
globe-circling war and feed itself at one and the same time was followed
by collapse of buying pov/sr., and the hero of the morning became the
chained debtor of the afternoon. It was all quite like a comedy— to the
group of professional aiders, not to the farmer. Here was stark, staring
tragedy. Here was a great industry, an industry beloved and honored,
hurled down into disaster. ... ./md the farmer himself? He has a hard pull
of it. And the turn of the road is not yet made. But again we need to
be careful, Eiere are prosperous farmers even to-day. There are farmers
who never will be or can be prosperous. There are groups, as that of the
livestock industry/, where the future, taking into account a ntmber of ■ -
years to come, looks tolerably bright, just as there seems to be little
place at the prosperity table for the specialir.ed grain grower. The fann-
er is not quitting. He is not thinking' of quitting. He is slogging
along. He will keep right on slogging along for years after his advisers,
uplifters and critics have joined the nest uplift cinisade. The American
f aimer, together with the Canadian, is already, and long since, the most
efficient producer of food in the world. His production per man enables
him to set a high standard of Americsi farm living. Wl^en the time comes,
and the need, he can lift the production per acre as required. In the
meantime he is learning something about finance, and something about the
marketing of his own products, and something about legislation. He has
not found a cure-all for his ills, social and economic, nor does he ex-
pect it. He is solving most of his problems by hard work and applied
common sense."
Vol. XVIII, llo.^ 53
- 5 -
Aig^ust 31, 1935.
Section 3
Department of An editorial in American Forests for September says; "Trees or
Agricillture livestock? Which shall dominaibe the National Forests? That is one of
the issues lurking in the "background of the advancing offensive of west-
ern stockmen against the Forest Service, This offensive is now gathering
its forces in the West preparatory to a great drive for legislation in
Congress this winter. Some stockmen already have openly thrown their
cards on the table for property rights in the grazing lands of the Nation-
al Forests. And if that right is vested in a special class of favored
individuals by act of Congress, conservationists foresee a breakdown of
the National Forests. It is doubtful if western stoclonen as a whole will
press as a clear cut issue a demand for what amounts to a conversion of
public property rights to private gain, not because they would not relish
a legal title to the forage in the National Forests, but, because they
foresee the improbability of success."
Section 4
MEEET QUOTATIONS
Paim Products . TiBEKLY BEVIEW
Chicago hog prices ranged from 30 to 60/ lower for the week ended
August 29; medium and good beef steers steady to 50?{ higher; butcher cows
and heifers 10^ lower to 25^ higher; feeder steers 25 to 75/ lower; light
and medium weight veal calves 25 to 50^ lower; fat lambs steady to 25/
lower; feeding lambs steady to 50/ lower; yearlings 25/ lower; fat ewes
steady »
Potatoes nearly steady. Minnesota Early Chios $2 to $2.40 mid- -
■western cities. Sweet potatoes declined in most city markets. Tennessee
Nancy Halls sold at $1,35 to $2 per bu. hamper in midwestem cities,
California cantaloupes, Salmon Tints, sold 25 to 50/ lower at $1. to
$1,50. Delaware and Maryland' Salmon Tints 75/ to $1 in New York City, •
Southeastern watermelons lower. Delaware, Maryland and, Virginia Excells
brought $125 to $135 per car in Philadelphia and 35 to 40/ unit basis in
Boston,
Grain markets sharply lower for week. Private reports indicating
larger Canadian crop together with small export demand and increased
receipts of spring wheat weakening factor. Winter wheat firm in cash
markets with receipts light and demand active. Corn future prices lowest
on crop, but cash grain fairly steady with demand limited. Oats'lower but
demand active particularly in Southwest.
Butter markets following a more certain trend, and the tendency
at the close of the week is firm. Current storage increase running somer-
what heavier than last year at this time, and this together with antici-
pated heavy fall production has caused some xmeasiness. Prices average
about 5 to 6/ above a year ago.
Cheese markets weaker and lower, declines of fully l/ occurring on
Wisconsin Boards at the close of the week. Trading light apparently due
to price uncertainty.
Hay market generally weak with demand light. Good pasturage in
many sections restricting consuming demand. Market lower at Cincinnati
where receipts have increased,
Millfeed markets steady with sufficient demand to keep prices from
declining. Inquiry for wheatfeeds slow but there is no pressure to sell.
Immediate and prompt shipment in fair request. Gluten meal reduced
another $2 per ton..
Average price of Middling spot cotton in 10 designated spot
markets declined 94 points for the week; New York October future con-
IgUl tracts decl?.ned 79 points, (Prepared by Bu. of Agr. Econ.)
DAILY DIGEST
Prepared in the United States Department of Agriculture for the purpose of presenting all shades of opinion as
reflected in the press on matters affectiag agriculture, particularly in its economic aspects. Responsibility, approval
or disapproval, for views and opinions quoted is expressly disclaimed. The intent is to reflect accurately the
news of importance.
Vol. XVIII, No. 53 Section 1 • September 1, 1925.
BUSINESS The general business outlook continues satisfactory, with
CONDITIONS activity well maintained, according to surveys issued yesterday "by
the National City Bank and the American Exchange-Pacific National
Bank. Both hanks agree that further expansion is indicated for the
coming months, but they emphasize the fact that no change has occurred in buying
methods, which continue on a hand-to-mouth basis.. The National City Bank, in its
review, says: "Pessimism has been fading out since the crop prospects began to im-
prove in the latter part of May, and confidence is now well established, although not
aggressive enough in trade circles to work any pronounced change in buying policies.
The opinion prevails that conditions are favorable to a large volume of business
this fall — probably the largest ever handled — but the productive capacity of the
country is now thought to be so large in all lines that there is no uneasiness about
ability to get goods as wanted or at the present price level. This continued absence
of the speculative spirit in the goods market is the dominating feature of the com-
mercial situation and also of the credit situation. Money is slightly firmer than
a month ago, and doubtless the demand will strengthen as business gets into the
fall season, but a mere increase of the voliome of goods in distribution does not
ordinarily cause any very pronounced increase in. the \i&e of credit. A state of
monetary ease exists over the country, partly the result of the liquidation of slow
paper which has been going on during the past year. It is- true that all of these
funds are employed in some way and that a withdrawal of funds from the centres
might quickly affect quotations, but the low discount rates of the Reserve banks
forbid the idea of any very tight situation." (N. Y. Times, Sept. 1.)
BATOS PLAN'S The press to-day states that the United States has received
FIEST YEAR a little more than $18,000,000 under the first year's operation of
the Dawes Plan which ended August 31, it is announced at the Treasury
Department. There has been paid on accoiant of the $254,000,000 due
for costs of American army occupation in the Ehine region $14,705,154. The total
of Army costs is to be paid back at the rate of 55,000,000 gold marks annually. The
balance of the sum the United States has received is the 15,213,000 gold marks
(about $3,500,000) which the Treasury- Department was officially notified was made
available to the General Transfer Agent on account of claims of American citizens.
The total amount of these claims which are now being adjusted, has not yet been
fixed. Officials here express themselves as optimistic in regard to the manner in
which the Dawes plan has worked and they feel confident that, except perhaps for
some minor changes, it will prove entirely successful in straightening out the
financial difficulties of Europe.
rnS "^"^^ ^™ ^ Columbia, S. C, dispatch to the press of September 1 states
COTTON PEEDICTED that 35 cent cotton is predicted by B. Harris, State, Coranissioner
of Agriculture, in a statement issued at Columbia, August 31. He
predicts a cotton shortage in the world, and sees a disastrous crop
Situation in the South.
Vol. ZVIII. No. 53
- 2 -
Set) t ember 1, 1925.
Cattle
Marketing
in Saskat-
chewan
Section 2
An editorial in "The JTor'-'Test Farmer (Winnipeg) for August 20
says: "The committee appointed to inquire as to the advisability of
organizing a cattle pool in Saskatchewan finds that a cattle pool organ-
ized on the same basis as a grain pool is not possible, and that attempt
to organize on that plan would lead to disappointment and failure. The
committee is convinced that the best interests of the producers of live-
stock will be served by strengthening and increasing the number of local
livestock shipping associations, to attain which the committee does not
favor the formation of a new organiaation. A federation of the exist-
ing cooperative livestock shipping associations is suggested, which
federation, the committee believes, could undertake to extend the pres-
ent system of cooperative marketing and develop a satisfactory coopera-
tive selling agency.
Farm A Buenos Aires dispatch to the press of August 31 states t'nat
Machine f arm machiner^T- imported from, the United States in 1924 is reported to
Imports have totaled nearly $17,000,000, an increase of $4,000,000 over the
in previous year. The imports included 4,085 thrashers, 46,497 plows,
Argentina 4,874 harvesters and reapers and 2,428 tractors.
Florida An editorial in The Florida Times-Union for August 29, says-
Fruit and "Representatives of citrus fruit marketing organizations recently have
Vegetable been attending dealers^ conventions in. cities away from Florida and
Jferketing there, learning much that is of value to the Florida growers of fruits
and vegetables. Much of this information, so acquired, these representa-
tives have been giving to Florida people, through the newspapers and
personally. It ought to prove of very great value. The Fruit Trad©
Journal and Produce Record, of New York, referring editorially to
these fruit organization conventions, and to some of the proposals made
to right some things that are v/rong, says: »Some of the problems which
are confronting growers, shippers and receivers to-day are of a serious
nature. Their successful solution imy be overcome if those vitally
interested in them tell the coujitry by means of advertising far and wide,
persistently and reliably, what growers of f raits and vegetables have to
offer for the food, pleasure and profit of humankind. Florida has
learned what publicity can do in developing that State and its products
at such a tremendous rate as to be almost unbelievable, and profited
immensely thereby. Certain canned fruits also have found advertising
highly successful in creating a demand for them and establishing
friendly relations between canners and consumers. There is ample evi-
dence to suggest that fresh fruits and vegetables can make great ad-
vances within the next year if attention and honest consideration of
the circular letter referred to can be secu.rcd.' In the foregoing
very brief reference is made to ver;'- important matters that have much
to do with the success or the failure of Florida fruit and vegetable
growers. Advertising is important, very important. Canning is import-
ant, making profitable use of fruit that is not good enough, or too
ripe, to market profitably and that ougtit not, for those reasons, to be
wasted. Florida now has a more stringent inmature fruit law than here-
tofore. It is a law made to be obeyed to the letter, because it is in
the interest of the fruit growers of this State, most of whom only too
gladly market none but mature f rait . But their market is damaged immen-
sely, and their industry imperilled, by the few who rush immature fruit
Vol. XVIII, Ho. 53 - 3'- September 1. 1925
to mrket, or have done so in the past, regardless of consequences, Thiv
season, with the newer and more stringent law available, there should he,
there must he, ohedience to its mandates. Commissioner of Agriculture
Mayo is going to do all that he can to prevent immature fruit heing
shipped, "but he needs the active cooperation of all who in any way are
interested in the prosperity of the State, for what hurts one industry
hurts the State as a whole. Florida stands to gain millions of dollars
annually through the growing and proper marketing of its fruits and
vegetables; this, in spite of the inroads made by suh-division promoters
who are encroaching on land hitherto used for grove and trucking pur-
poses. Let the sub- divisions multiply and prosper, but at the same
time protect the fruit and vegetable industries. They are too valuable
to lose."
An Associated Press dispatch from Boston August 31, says: "A
resolution condemning the proposal to raise $15,000,000 for the estab-
lishment of Jewish agricultural colonies in Soviet Hussia has been ad-
opted by the New England Zionist Executive Committee and forwarded to
prominent Jewish leaders in New York, it was announced at Boston
August 30. ....The resolution was in reply to the proposal made by Louis
Marshall of New York and David Brown, both leaders of the Joint Dis-
tribution Committee of America to raise the money for Bussian agricul-
tural colonies."
Land "The Northwest Swings Back to Prosperity" is the title of an
Conditions extensive article by Agnes C. Laut in The American Review of Eeviews
for September. Miss I^aut says in part: "perhaps it will clarify the
atmosphere to acknowledge frankly that the western farmer did not get
any more of a knockdown blow from 1920 to 1924 than the eastern farmer.
The difference was: the western farmer, with the exception of Minne-
sota, which is an old State in farming, got the blow on his weak spot —
debt. He had been urged to expand during the War; and he overexpanded
and went in debt. The sound eastern farmer did not inherit a mortgaged
area. When the blow hit him, he had a surplus and not a mortgage. He
could cut down, sit tight and live on his own fat. He did not 'hop'
his farm as almost 7 per cent, of farm population did in four years,
according to Federal Land Bank Statistics and the Federal Department
of Agriculture. Parenthetically, it may be added that mortgages in the
West at this period showed an increase of almost 500 per cent. That was
a heavy load round a swimmer's neck, when he found himself wrecked in
the trough of an after- war slump. The eastern farmer hadn't that load
round his neck; but if you examine facts, you will find that with much
higher wages than the western farmer and almost impossibly high prices
for feeds, the prices for farm lands in the East slumped even farther dorrr.
down and hit as hard. But the city man of the East, hit by the fact
that he had no dividends and no employment, was a buyer for these low-
priced eastern farms. The ?/estem man had not this town buyer for his
lands. He couldn't climb out under the wreckage. He bopped it,
abandoning all; or he stayed with it. Those who stayed with it are
coming out all right; and many who hopped away to earn a living in
factories are now coming back with their savings to begin over again
clear of debt. I can buy to-day many an improved eastern farm at $20
to $40 an acre. I could not buy the same character of land in the West
Jewish
Farm Fund
Opposed
\
Vol. XVIII, No. 53
« 4 -
September 1, 1925.
in Minnesota \-u:dsr $-50', in the Dfiitotas under $20; and Montana -under $20.
Why? Because, with good prices fcr produce, these western lands will
yield bigger interest on investment. There is no other rale governing
the price of lands — farm lands, not speculators' lards. If you examine
?/hat k-nocked the West down from 1920 to 1924, you Trill see how the most
of the causes for disaster have passed and the gro-and swell is swinging
hack up to a prosperity such as characterized progress from 19C0 to
1914. Every cause of disaster hut one has passed; and that will cure
itself."
Landscape Development of landscape gardening in connection v/ith new school
Gardening buildings, in line with the present effort of Wyshingtcn school atithori-
Asked for ties to surround children with all possible cultural influences rather
Capital than to make school a prison-like experience for the young, is urged in
Schools the annual report of Municipal Architect A. L. Harris, submitted August
30 to Engineer Commissioner J. franklin Bell, according to the press of
August 31.
Land Sur- The $840,290 appropriated by Congress for survey and resurvey of
veys Pro- Government public lands during the next fiscal year was allotted August
vided For 20 by the Interior Department as follows: Federal Supervisor's Office,
$125,500; Alaska, $4?', 300; Arizona, $57,500; California, $57,000;
Colorado, $52,040; Idaho, $50,500; Montana, $59,160; ITebrasl^^ and South
Dakota, $41,420; ITevada, $43,040; New Mexico, $57,000; Oregon, $59,590;
Utah, $63,660; Washington, $38,040; Wyoming, $44,040; Eastern districts,
$45,000. (Press, Aug. 31.)
Meat Trade A review of the livestock and meat situation, issued to-day by
in August the Institute of American Meat Packers, points out that a fair demand,
with little cha^nge in values, featured the wholesale meat trade during
August. Receipts of hogs v/ere somewhat more liberal than in July. Prices
averaged well above $13.00 per hundred pounds during the first two weeks
of the month, but declined somewhat during the latter part. This decline
brought hog prices more nearly in line with current product values than
has been the case for several months. Notwithstanding the fact that the
volume of the trade was good, the dressed beef market was unsatisfactory
during the entire month, Tlie export trade during August showed improve-
ment over the trade during .July. Shipments of lard to Europe have been
heavy to provide sufficient stocks for the fall trade and also to
anticipate the effective date of the Genaan tariff duties.
Muscle Shoals An editorial in The Baltimore Su:n of August 31, says; "A deficien-
cy of water in the Southern States has done more than all the oratory of
Congress and the investigations of Congressional committees. It has
caused the first SO^OOC-hcrssporer hydro- else trie unit at Iviuscle Shoals
to be put into operation. Tl-.e need for power to supplement the depleted
ou.tput of public service corporations in Geor-jja and the Carolinas has
bro-ught about this phenomenon. There is recorded the surprise of a
Secretary of the Navy, not now living, who boavced a vscsel and peered
down into the hullo »Why, » liaid he, 'the blsme thing's hollow,' With
the plant at Muocle Shoals actuallj'- operating it may be escpected that
the more ingenuous Congressmen, on hearing the news, will exclaiin, 'ViThy,
the blame thing works I » And having made that discovery they may, for the
first time, address themselves with real interest to the problem of
devising a plan for its continued operation."
Vol. mil, No. 53
~ 5 -
Septem'b'er 1, 19P5
SectioB, 3
MAEKET QU0T1.TICNS
Farm Products August 31t Chicago hog prices closed at $13.60 for the top and
$11.25 to $15.25 for the buUc. Medi-um and good "besf steers $6,?5 to $14;
"butcher cows and heifers $3,50 to $12.50; feeder steers $6.25 to $8,50;
light and medium weight veal calves $9,50 to $13.00. lat lamhs $13.25
to $15,405 feeding lairibs $13.50; yearlings $9.25 to $12,25 and fat ewes
$4.50 to $8.25. Stocker and feeder shipments, from 12 important markets
during the week ending August 21 were: Cattle and calves ?i,527j, hogs
7,029; sheep 88,074. . ,
East Shore Virginia yellow variety sweet potatoes ranged $4.25-
$5.50 per "barrel in leading markets which is on a level with a week ago.
New Jersey sacked Irish Cothlers declined to 10-20^^ ranging $2.3S-$2.65
per h^mdred pounds in Eastern cities; $2.15-^2.35 f.©.!*. central and,
northern New Jersey points. New Jersey Elterta peaches sold 25^ lower
at $2-$3.25 per six basket carrier and hushel 'baskat in Eastern citids.
Colorado Elhertas were Jobbing at $3.75~$3.85 in St. Louis. California
Salmon Tint cantaloupes from Turlock section sold at a range of 75^-
$1.50 per standard crate in Eastern markets. Colorado Salmon Tints
were selling at $l<,50-$2 per standard 45 in midwestem markets. Missouri
Tliurmond Gray watermelons 22-30 pound average jobbed at $150-$250 bulk
per car at Chicago. Maryland and Virginia Tom Watsons 22-30 pound
average 20y^~40^ unit basis in Boston and Baltimore as compared with 12^-
40^-^ a week ago.
Closing prices on 92 score butter today: New York 45; Chicago
43 1/2; Philadelphia 46; Boston 45.
G-rain prices quoted August 31: No. 1 dark northern Minneapolis
$1.52-$1.67. No. 2 red winter St. Louis $1.74; Kansas City $1.7o'. No.
2 red winter Chicago $1.64. No. 2 hard winter Chicago $1,57 l/2-$1.58-
1/4 cents; St. Louis $1...60"$1-61; I/2? Kansas City $1,dO-$1.65. No. 2
mixed corn Chicago 93 i/4-94 centr.; St. Louis 92-93 I/2 cents; Kansas
City as 1/2 cents. No. 2 yellow com Chicago 93-94 cents; Minneapolis
87 i/4-87 3/4 cents; Kansas City 94 5/8-^96 I/2 cents. No. 3 white
com Chicago 92 3/4^-93 3/4 cents] No. 2 white corn St. Louis 92-92 1/2
cents. No. 3 white oats Chicago 38 1/2-39 3/4 cents; Minneapolis 35-^35-
1/4 cents; St. Louis 40 3./4~40 I/2 cencs; No, 2 white oats Kansas City
39 3/4«40 cents.
Average price of Middling spot cotton in 10 designated spot
markets declined 48 points, clos5,ng at 21.6^3 per lb. New York October
future contrav^ts declined 40 points » closing' at 21.95^. (Prepared by
Bu. of Agr. Econ.)
Industrials and Average closing price Aug, 31 Aug. 29 Aug. 30, 1924.
Haxlroads 20 Industrials 141.13 141.26 105.16
20 R.E. stocks 101-95 102.36 90.60
(Wall St. Jour., Sept. 1.)
I
If
ill
DAILY DIGEST
Preoared ia the United States Departmest of Agriculture for the purpose of presenting all shades of opinion as
reQected in the press on matters affectiag agriculture, particilarly in its economic aspects. Responsibility, approval
or disapproval, for views and opiuioas QMOted is expressly discMmed. Tli© intent is to reflect accurately the
news of importance. -
Vol. XVII I, No, 54 . Section 1 September 2, 1925
LIVEHPOOL OPENS UEW A Liverpool dispatch to the press to-day says: "A new futures
COTTON MAEKET market for empire~grown and miscellaneous cotton was formally opened
at the Liverpool Cotton Exchange September 1. A. A. Patten, vice
president of the market, in a brief address at the opening ceremony,
expressed the belief that in time the new market would supersede the American futures
mai'ket . " ■
NATIONAL PARKS An editorial in to-day »s New York Times saysj "The reply of
AND FORESTS Colonel Albright, Superintendent of the Yellowstone National Park, to
the charges made before the Senate Subcommittee on Public Lands was so
conclusive as to silence completely the witnesses testifying against
him. ...In itself the incident is of no especial importance. The administration of
the Yellowstone National Park has long been noted for its excellence. But, coming
after the attacks on the Forest Service last week, the charge that there is an oiv
ganized attempt to discredit the Federal conservation policies by stirring up animos-
ity against the forestry and park services seems to be true. It is, of course, the
duty of the Senate subcommittee to hear all complainants. But conservationists can
not help regretting that among its members are some Senators whose sympathies are
notoriously opposed to the present conservation policy, and who would apparently like
to pry loose the Federal Government's hold of the parks and forests in the hope that
the States would be more willing to listen to 'reason* than is Washington, It is
easy to understand the cleavage between the East and the West on this matter. For
illustration, read the testimony now being taken in Montana. To the old-timers in
the Mountain States, where most of the parks and forests are situated, the Federal
Government, which has taken over enormous tracts of public lands, appears to be an
inteTioper. It stands in the way of 'normal development' — that is, of plans for
exploitation of natural resources such as those through which pioneers in the old .
days made fortunes. They consider that these lands belong to the people of the Stat®
which they are situexed. The park and forest policy is that these belong to the ■
Nation at large. The poacher and the prospector in the Yellowstone and the Arizona
cattleman who wants the unlimited use of the grazing lands in the national forest-
represent the same spi-rit. Their objection to aoverrjnent supervision is that it
places a check, on tha:.r formerly unfettered exploitation of the wilds. The fundaments
al justification for an ail-^eicb racing conservation policy is to protect the forests
and parks from selfish individuals, so that all may enjoy them and profit from them
m the future . » ^ ^ y
LUTHER BURBANK ^ An editorial in to-day's Philadelphia Ledger on the announced
retirement of Luther Burbank says; " . , . . .The measure of success
^-liieved by this modest and patient wonder-worker is indicated by the
scramble among the universities all over the country to win the inheritance of the
^urbank gardens. From Harvard on the Atlantic to the Stanford University on the
pacific it is said that overtures have gone to the wizard, with the chances in favor
01 the California institution "
Vol. mil, yo. 54
Septem"ber 3. 1925.
Soction 2
Agricultural George A. lox, executive secretary, Illinois Agricultural Associa-
Situation tion. in the I. A. A. Record of August 29. says: "The time has come m the
Midwest when adequate remunerative return to the farmer mast come from^
the operation of his farm. Dependence on increased value of land holdings
will "be, from now on, an uncertain if not indeed a negligible factor in
farm profits. Farm operations must he conducted more nearly like an in-
dustry and the profits must come from the operating turnover. The estah-
lishment and maintenance of fam operations on a prosperous "business "basis
is the most iiiportant economic and social question facing the American
people. The farmers of America have in the past "believed in developing
home industries and have suhscrihed to a Government policy of protecting,
encouraging, and developing our industries against outside competition.
With the development of industry and transportation, the laboring class
was faced with outside competition from people with lower standards of
living. Labor pressed and secured Government protection against runious
competition caused by immigration. The farmer did not object to protect-
ing labor. Agriculture will decline or develop. It can not stand still.
Shall the Government interest itself in developing agriculture? Shall
the Government aid in establishing farming on a business basis? Can the
Hation afford to do less for the faming business than it has done to
maintain industry and labor? We think not. Only by developing all of our
resources, agricultural and industrial, can we maintain an economic bal-
ance which will make the llation prosperous and safe for all time."
Agriculture An editorial in The Journal of Commerce for August 25 says:
and Business "Despite rather unusual variation of opinion for the season of the
year in respect of the size of the prospective crop of cotton, few well
informed students needed to wait the Government forecast of practically
14.000,000 bales to be assured that so far as can now be foreseen our
production of this highly important raw material will be large. Somewhat
the same situation obtains with reference to several other leading agri-
cultural crops in this country. Exceptionally large additions to supply
can, of course, be counted upon to influence prices, and, moreover, as all
who have taken the trouble to inform themselves know well enough, there
are some rather bad spots in agricultural regions. It is hardly likely,
however, that prices will fall drastically enough to prevent the develop-
ment of a very substantial volume of demand for a variety of goods in
rural districts during the coming autumn and winter, and districts where
crops have been, or promise to be, a failure are after all such a rela-
tively small part of the total farm area of the country as a whole that
their influence will certainly not be dominating. Conservative observers
have for a good while past been fully aware of the fact that the general
business situation in this coxnitry during the coming autumn and winter
would in unusual degree depend upon the crop outcome, and it may now be
added with a moderate degree of assurance that by and large the agricultur-
al outlook is distinctly encouraging. What the leaders in industry, trade .
and finance think of these and other similar facts is plain to see. It
has written itself in large letters across the face of th'e stock market?
it is reflecting itself in the sustained demand from distributers for
textile and other goods, particularly in the South and West; it reveals
itself in the plans the railroads are making to transport record breaking
amounts of goods during the next few months; it is being made manifest in
the plans industry in sundry lines is drawing up for a relatively full
measure of activity for some time to come, and it finds expression in the
Vol . rvIII, go. 54
September 2, 1925.
unich greater degree of optimism the-t now pervades tho cormiunity in general.
Evidently the business v/orld has looked upon the developments of the past
fow months and is calling them good. Fortunately, moreover, this marked
hopefulness i7ith 7/hich the future is now heing viewed is in large measure
based upon solid fact end sound reasoning
Argentine Beef An editorial in The Pastoral Review (Melbourne) for July 16 says:
Export "Wd have had several reports recently from Australian visitors to the
Argentine that that country has reached her limit in beef export. It may
be as well not to build too much on these opinions. There is another big
beef cloud on the horizon, v/hich will not take long to be over us. Between
the year 1878 and 1900 Argentina made her first big stride in stock im-
provement, and as early as 1891 she was beginning to get meat away in
lax'ge quantities and of a high quality. It only took her a quarter of a
century to raise her vast numbers of 'criollo' cattle to herds of fine
quality standard. The writer has been directly connected with Argentine
cattle since 1891, and can justly claim to some knowledge of the subject
on which he is writing. Argentina has by no means reached her export limit.
She may have reached her local breeding limit, but she has nearly
44,000,000 cattle in adjoining States which she can and is helping to im-
prove, and from which she can 'Iraw stores for fattening on her vast alfal-
fa plains. The wish is no doubt father to the thought that her limit has
been reached, but our coimtrymen are apt to junrp to conclusions, which a
little more knowledge would probably cause them to reconsider. The frozen
meat exporters of Argentina are the smartest business men in the world,
and the cattle breeders are also alive to what can be done, therefore the
writer expects to see big developments in the improvement of Brazilian,
Uruguayan and Paraguayan herds. Everything is in their favor, climate,
labor, soil, facility of shipment, nearness to world's markets, and rail-
ways, which are not only run for the employees, but with business methods
for the people as a whole, instead of as is the case in our principal
cattle State, Qu.eensland. "
Cattle Markets An article in Commerce Monthly (Hew York) for September says; "The
acute difficulties which cattle raisers have faced during the last few
years may be traced in the main to the readjustment which was necessary
following the change in demand caused by the v/ar. How that this readjust-
ment is well along toward completion, however, it becomes necessary to
study the long-time trend of developments which was in evidence before the
war, if the future of the industry is to be appraised correctly. Ho long-
er can the export ma,rket be considered a factor of pemanont importance to
cattle producers in the United States. The free ranges of the great
western frontier which made possible shipments abroad of huge qus.ntities
of beef end cattle in the last cent^iry and at the beginning of this one
have disappeared. The competition in foreign beef markets of frontier
cattle land in South America and Australasia, the consiiming power of a
growing population at hom.e, and the consequent pressure of other farm
enterprises for the tise of land had before the war eliminated net exports
M both beef and cattle and greatly reduced the beef herds of the country.
In rer^ponse to the stimulus of abnormal European demand for beef created
by the war, coupled with dif f iciolties of transporting sufficient quantities
of beef from Southern Hemisphere producers -under wartime conditions, the
beef herds of the United States were again built up, increasing by a third
in five years. The export m.arket was lost almost immediately after the
close of the war. Producers were faced with the necessity of getting rid
Vol. XVI II. No. 54
- 4 -
S ep temljer 2. 1925.
of this increment of beef cattle, produced -under high-cost conditions, in
a domestic market which had -undergone only normal gro-wth and v/hich during
part of the tine -s^as flooded vith cheap pork. Until the spring of 1925
pressure of cattle supplies cut short promising advances in price, "but the
"burdensome surplus seems at last to have "been eliminated."
?ruit Storage W. H. Brown, writing in Agricultural Gazette of New South Wales ^
in for July 1, says; "The Victorian growers, confronted no dou^bt "by a similar
Australia state of affairs in years gone "by, have largely solved the problem by the
erection of cool stores, in which fruit can be held until it is desirable
to market it. That the system has been a success could not have better
proof than in the fact that in that State every fruit district of note
to-day has its cool store, which as a role is cooperatively owned. The
storage capacity available for fruit in Victoria can accommodate about
1,500,000 cases, over two- thirds of that storage being available within
the fruit districts, and under the close control of the growe?&s themselves.
In New South Wales, on the other hand, no storage at all exists, except
a small capacity in proprietary stores in Sydney, and that provided at
Batlow within the last two or three years as a result of local enterprise'.'
Section 3
Department of
Agriculture An editorial in The Milwa-ukee Journal for A-ugust 20 says: "The in-
vestigation into the administration of public lands, including the work
of the Forest Service, soon to get -under way, seems to be founded on
charges by Senator Ashurst of Arizona that the service shows 'abysmal
lack of familiarity with our national forests.' As the Senator's strict-
ures are analyzed it appears that the chief evidence of 'abysmality' lies
in the fact that the Forest Service restricts grazing on Federal acres.
Senator itshurst and some other western gentlemen still live in the atmos-
phere of the old West. It was a large, free land. Cattle ranged where
they pleased. But the old range days are gone» homesteaders have come,
fences have appeared, miles of open country are closed to the old-time
cattle men, and they are restive. They have looked with avid eyes on the
national reserves — closed against free grazing and carefully regulating
such paid grazi-ng as they allow, it was wise and scand judgmont that
locked -up these Federal resources. And it seems, as one reads the regUr-
lations on grazing, that the Forest Ser-^ice has been too liberal rather
than too niggardly with the cattlemen. It seems that tlie service, if
subject to criticism at all, might be criticized for letting too many
cattle into the national reservations rather than keeping too many out.
We may expect to see others joining with the gentleman from Arizona in
the coming attack upo'n the Forest Service. There are lumber interests on
the western coast v/ho see the end of their operations. They have money
and energy to invest, with little left, of private holdings, to invest
them in. TThat more natural than that they, like the cattlemen, should
look avidly upon the riches stored away in the national forests? What
more fiuitful field could they ask than those forests, opened wide to
them by some congressional looseness, coming out of such an attack as now
is promised? Certainly the American people will welcome a fair investi-
gation. They will not prejudge it. Nor should they assume that cattle
and lumber interests are selfishly plotting to loot the resources that
have been held for the people by the Department of Agriculture, through
its agent, the Forest Service. There is reason to hope that the senator-
ial land committee, headed by Senator Walsh, will go fairly into these
^ 5 -
September 2, 1925.
matters and reach fair conclusions, "based on the public interest. But if
there is temporary tias, let it be on the side oi the Forest Service. Its
work has not "been perfect; it may not have done all that could "be done
with the puDiic lands; but it at least has stood "between a great public
heritage and the swift, relentless e3cploitation that has marked the end of
so much of America's natural wealth when it has passed from public into
private hands."
Section 4
MEKET qUOTATlONS
Farm Products September 1: Hogs, top $13.40; bulk of sales $11.20 to $13.20;
medium and good beef steers $7 to $14; butcher cows and heifers $3.50 to
$12.50; feeder steers $5 to $8.50; light and medium weight veal calves
$10 to $13.50; fat lambs $13.75 to $15.65; feeding lambs $13.50 to
$15.60; yearlings $9.75 to $12.75; fat ewes $4.50 to $8.25.
East shore Virginia sweet potatoes ranged $4.50-$5 per barrel in
most city markets; lower in Baltimore at $3.25-$3.50. E.o.b. price brought
$3.75-$3-85 to Virginia growers. New Jersey sacked Irish cobbler potatoes
sold at $2.15-$2.50 per hundred pounds in Eastern markets. Maine Irish
Cobblers, sacked and bxilk, ranged $2-$2^10 in New York and Boston.
Colorado Salmon Tint cantaloupes ruled $1.25-$2 per standard 45 in terminal
markets. 70^^-75/ f.o.b. Rockyford, Colorado. New York Oldenburg apples
ranged 6C^-$1.15 per bushel basket in Eastern cities. Grapes from New
York State ranged 50^-$l for Champions per 12-q'jart basket in New York
and Pittsburgh.
Grain prices quoted September 1; No.l dark northern wheat,
Minneapolis $1.53 to $1.68; No. 3 Red Winter, Chicago $1.66 l/2; St. Louis
$1.75-$1.7S; Xansas City $1.71. No. 2 hard winter, Chicago, $1,60 l/2;
St. Louis Olo52 1/2; Kansas City $1,56«$1.68. No. 2 Yellow Corn, Chicago
94 1/2 to nS; St, Louis 94 l/2; Kansas City 96-96 l/2; No. 2 mixed corn,
Chicago 92 1/2-94 1/4; Kansas City 87 to 88 l/S^; No. 3 yellow corn,
Chicago 93-S4$(5; Minneapolis 84 3/4-89 l/4^ No. 3 white corn, Chicago
93 1/4-93 l/2^ No. 3 white oats, Chicago, 39 l/2j^; St. Louis 40 l/2 to
41 X/4/; Minneapolis 35 3/4 - 35/. No. 2 white oats, Kansas City 40 I/2/.
Average price of Middling spot cotton in 10 designated spot markets
advanced 7 points, closing at 21. 7l/ per lb. New York October future con-
tracts advanced 16 pbints, closing at 22. 11^ (Prepared by Bu. of Agr.
Econ. )
Sept. 1, Aug, 31, Aug, 30, 1924"
139.78 141.18 105.16
100*90 101.95 90,60
Industrials and Average closing price
Railroads 20 Industrials
20 R.R. stocks
(Wall St. Jotxr. , Sept. 2.)
Prepared in the United States Department of Agricalt«re for the purpose of presenting all shades of opinion as
reflected ia the press on matters aSectiag a^rie!ilture, psrtictilariy ia its economic aspects. Responsibility, approval
or disapproval, for -views s«d opinions quoted its espres^^r disclaitnied. The iat«a4 to refleot accurately the
news of importance.
7ol. XVIII, No. 55 Section 1 Septeniber 3, 1925.
THE PRESIDENT ON An Associated Press dispatch from Swanrpscott, Mass., to-day
HIGHWAY CONGEESS says: "Belief that amicahle relations "between North and South Ameri-
ca will he promoted by such conferences as the Pan-American Congress
of Highways to he held soon at Buenos Aires was expressed yesterday by
President Coolidge in a letter to the American delegation to the congress. The
President's letter, sent to H. H. Rice, chairman of the delegation, follows: »0n the
eve of your departure for Buenos Aires to attend the Pan«American Congress of High-
ways as delegates on the part of the United States, I desire to extend to you and .
through you the representatives of other countries who may there assemble, the hest
wishes I entertain that the meeting of the congress may be most successful in the
interest of highway development, especially in those phases of the subject regarding
international treatment. Your mission is an important one. The puipose of the Pan«
American Congress of Highways to bring together representative men of the Western
Hemisphere familiar with the various phases of hi^ways research with a view to the
betterment of highways construction and motor transportation has my hearty support,
recognizing as I do that better facilities of road communications will be conducive
to improved intercourse and good understanding, and can not but react to the social
and economic advantage of all the nations concerned. I look forward hopefully to the
time when through the efforts of the delegates to these Pan-American conferences the
two continents of North and South America will be united in physical fact through
modem highways as they to-day are united by bonds of mutual friendship and goodwill.
I have no doubt that your influence will be exerted toward the furtherance of this
desirable end.'"
ILLINOIS FARMERS A Springfield. Ill,, dispatch to the press to-day states that
HATE PAPERS BY seventy-five per cent perfect on the first test, airplane delivery of
AIRPLANE afternoon newspapers to the farmer^ s door was attempted at Springfield
September 1. Yesterday three-fourths of the farmers had reported re-
ceipt of the newspapers and were informed t'rat airplane delivery
would soon come to stay. Papers were dropped as each subscriber's house was passed.
It was said that the cost of operating the plane was 4 cents a mile, comoared with
10 cents for a truck.
COMMERCIAL AIR Conmercial aiiplanes throughout the world have flown approxi«
SURVEY" mately 30,000,000 miles since commercial aviation was begun, according
to the Department of Commerce and the American Engineering Council.
Professor Joseph W. Roe, head of the Department of Industrial Engineer-
ing, New York University, explained that the distance covered was over land and water,
oy night and day and under all kinds of weather conditions. He said that military
flights were not included in the figures. A complete report on the survey will be
presented to the Administrative Board of the American Engineering Council October 29
and 30, at Columbus, Ohio. (Press, Sept. 3.)
Vol.XVIII, No. 55
- 2 -
S ep t emb e r 3. 1925.
Section 2
Agricultural Clinton W. Gilbert, in his ''Daily "'.Tashingt on Mirror" in the press
Conditions of September 2, says: i'Dr. Valerian 0. Ossinsk;,-, professor of agricol-
in Russia ture in the Moscow; Academy, who is studying i^erican farming methods and
farm mchinery in this country, tells me that Russia is more prosperous
this year than at any time since the war» The crops are unusually good
and production in other lines is getting back toward the pre-war level.
Russian exports to this country have heen "built up hy a selling syndicate
in Uew York, so that furs, though still 80 per cent of Russian exports to
this cotmtry, are no longer, as they were a year ago, virtually the only
article shipped here. Thus there will he more money to buy jknerican ma-
chinery than in recent yea^rs. Doctor Ossinsky is greatly interested in
the costs of American farming. Theoretically, Russia, when it has modem
machinery and methods, should be the source of cheap food, as the West
was a couple of generations ago. There is free land there, especially in
Siberia, And Russia, so long as the pi'esent system of Goverament lasts,
is going to be the one place in the world where land can not have & specu-
lative value. There can "be no buying and selling of land in Russia. A
father may pass his farm on to his son, out he can not alienate it, for
the title to it finally rests in the C-ovemment, So the va?.ue of land
can not be an element in the cost of production of farm products. This
is an experiment the social consequences of which are not easy to pre-
dict. American faraers have made their living out of their farms and
their profits out of the 3,ncreasing value of farm lands as the more pro-
ductive regions have gradually come under cultivation. The Russian farm^
er will have nothing to look forward to except his annual harvest as a
source of means to accumulate a competence. Will he be content with the
system under which he does not own the land he tills? He has slowly pro-
gressed from serfdom up to tenancy under great landlords and then to a
qualified ownership of land under the State. Will he prove willing to
stop short of f'ull ownership? The farmer steadily becomes more and more
the pro"blem of the present Russian Government, which is a workingman's
government of an agricultural country. That is one reason, I suppose,
why Prof. Ossinsky is in this country studying American agricultural
methods . " '
Farmer Loans An editorial in Farm Implement News for Aug. 27 says: "As applica-
ble to regions where farmers were prosperous and had financial surplu.ses,
we have heard the accusation that the average country "banker had no real
interest or vision in the developaaent of the farms owned by its customers.
This attitude was exemplified "by the hanks » invariable advice to keep sur-^
plus funds in certificates of deposit and not to reinvest farm profits in
farm buildings, farm livestock and other farm improvements that reason-
ably could be expected to earn far more than the banks* rate of interest.
In exaggerated foim, it might have been said that such bankers preferred
as customers the men who had large balances in the bank but were operat-
ing run-down faims in urgent need of capital improvement. However this
may be in some sections, there is no such attitude in the Fresno, Calif.,
district, if we may credit the statement of our Pacific Coast corres-
pondent in his letter of last week. According to this a number of
associated banks around Fresno have combined on a policy under which they
will no longer finance farmers or ranchers who grow raisin grapes except
where the production is in excess of a ton an acre. The bankers say that
corn, cotton, alfalfa, etc., can be raised profitably in the district,
while the grapes have caused losses year after year. It is the old story
of all the eggs in one basket; or lack of diversification."
7ol. XVIII. Uo- 55
- 3 -
Septeiaber 3, 1925.
Flar C-rowing "Statistics show that "by far the larger area of flax grown in
in Ireland Ireland is grown hy men who can not manage more than one or two acres,
the venture of a bag or a couple of "bags of seed. The substantial farmer
grows more hut, even with better handling, it is questionable if his mar-
gin of profit is so great at the end. The sma7>.l grower, with his family
at hand to help him at every turn, and thereby saving cost, stands to win
most. i\itile attempts have been, and are being made, to reduce cost, of
production in flaz growing implements designed to replace raanvial labor.
The probabilities are that it may be done, but they are stronger that it
can not, riax fiber, ready to be sp-'jn into yam, and to be woven into
linen, mast, and alT^ays will be, the product of the human hand;- whf>r3 an-
cient Egypt has eclipsed us moderns in the fine texture of their line,
this degree of perfection is hardly likely to be improved upon by pulling
machines or steain=.heated retting ponds." (Farmers' Gazette (Dublin) Aug. 22)
Freight Bates An editorial in The Wall Street Journal for September 2 says;
»W>i8n the Interstate Commerce Commission begins its inquiry into western
freight rates at Chicago, during the next few days, it will do so in com-
pliance with the Hochr-Smith resolution of Congress. It does not follow
that the commission is under any mandate to embrace all the implications
of that document and of the circumstances of its passage. The resolution,
in the airy manner characteristic of too much national legislation, sounds
a new note in rate regulation, but in the same breath disavows any inten-
tion to substitute it for the principles of the Transportation act with
which it conflicts. To assign the Eoch-Smith resolution its rightful
place in the railroad scene it is necessary to recognize tliat it was
prompted by a desire to *do something for the f armer. » It declares the
Hrue policy in rate-making* to include consideration of 'the conditions
which at any time prevail in our several industries' and the general and
comparative price levels of various commodities 'over a reasonable period
of years.' — .All of this verbiage was raked together in the pious hope
that it would give the farmers and stock raisers a reduction in freight
rates on their products, or would at any rate look like an effort in that
direction. The Supreme Court has already told the commission that it can
not read the desires of Congress that may lie back of an act as 'a term
of the statute that was passed.' But it is still more pertinent here
that the resolution itself directs that whatever readjustment of rates is
made shall be done 'legally, ^ likewise 'according to law' and so as to
result only in 'lawful rates,' Inasmuch as the resolution not only does
not repeal the rate-making section of the commerce act, put into it by
the Transportation act of 1920, but almost painfully seeks to avoid any
inipairment of the existing law on rates, it is not to be supposed that
the Commission will lightly throw over well-tried principles to assume
the wholly impossible task of redressing every unwelcome phase or condi-
tion in every industry by changing freight rates applicable to its pro-
ducts »
-Potatoes and An editorial in The Journal of Commerce for August 29 says: "Those
Tariff farmers who have potatoes to sell will no doubt find comfort in the recent
assurances of the Department of Agriculture at Washington that prices are
likely to remain high all round. There is, according to this official
outgiving, a shortage in practically all varieties of this food product
and, says the department, »the present tariff of 50 cents per hundred
pounds on potatoes is a barrier against heavy iniports unless prices go
very high.' Certain special occasions of this sort arise from time to
i
•/ol. XVIII, Uo. 55
- ^ ^
September 5, 1925.
time when our schedule of duties on agricultural products "becomes effect-
ive, and, of course, there are a n-omher of particular branches of our
agriculture, like peanut growing and citrus fruit production, rhich are
continuously benefiting from the protection thus afforded. Government
officials and politicians are not likely to permit their light to be hid
un.der a bushel. The fanners actually benefited by the I'ordney-McCtimber
schedules are certain to be informed of their good fortune at frequent
intervals, and a good many that really obtain no good whe-tever are often
told that they are very real beneficiaries. .But what, of the consumer
who must pay for these advantages to this, that and the other isolated
gTov^p in the agricultural industry and of the vast body of farmers whose
interests are hurt a great deal more than they are helped by such ■
policies?"
Heads and An editorial in The Chicago Drovers Journal for August 31 says:
Business "This coxintry is spending money at the rate of a.bout a billion dollars a
year for improved highways. This represents a tremendous capital inves1>-
ment, and one that either depreciates rapidly or requires a continued inr-
vestment for tgpkeep. Much of the traffic over these roads is piirely for
pleasure. OJhus people are led 1 to doubt whether the total road investment
is a wise one. The question of whether too much is being spent on roads
time alone can answer. However, their economic value should not be en-
tirely overlooked. Sandwiched in with pleasure traffic there is a vast
amount of b\xsiness traffic, in autos as well as in trucks. Good roads
mean speeding up business, and that means more business than coiiLd be done
without this versatile contribution to the couatry's transportation system
There is real economic value here, hard to measure, but certainly of great
importance. f
Bussian Wheat A Chicago dispatch to the Hew York Times of August 31 says: "Russia
Esport is offering wheat abroad at much lower prices than America, and, while
part of the selling is probably due to the desire to build up its holdings
of gold abroad, at the same time the importance of Russia again becoming
a factor in the world^s situation can not be ignored by the trade, even
though the quantity cleared this season is relatively light in comparison
Pwith the pre-war totals. Should Russia start to export 100,000,000
bushels per year it would create considerable cornpetition for American
farmers, who have enjoyed prices considerably above normal during the last
few years "
Iheat Market Modem Miller for A.ugust 22 says: "Believing the trade would be
interested in the opinions of leading members of the Chicago Board of
Trade, as to the trend in the wheat market. Modem Miller late this week
interviewed some of the leading members. .There was a. general opinion
that it will take some iinportant developments to change the present
levels; that there is no pronounced bullish or bearish features and the
trade is waiting to measure the effects of the Canadian movement. Two
well defined opinions seem, to prevail, first that there is nothing in
sight to inspire the hope for a veiy much lower basis of price, and second,
that at some time on this crop prices will be higher. Some real factors
in the trade do not hesitate to express the opinion that the domestic sit-
■uation is sufficiently strong to insure higher prices before a new crop
is harvested. The bears see Europe and Canada as possible deterrents to
advances for some time to come. They see heaviness, unless exports hold
up, but they are not keen for declines beyond moderate price recessions.
Vol. XVIII. No. 55
September 3. 1925.
They are inclined to look for bearish official reports from Canada. The
period of crop damage is practically past, with frost or rain in Cana-da
the only possibilities for crop losses ... .The movement of wheat has "been
light, which natiirally leaves a lot of wheat back on the farms, Europe
apparently needs a lot of wheat for em^jty bins and a good part of this
early season necessity must be supplied from America."
Section 3
mmST QUOTATIONS
Fam Products Sept. 2s Chicago hog prices closed at $13,35 for the top and
$11 to $13 for the bulk. Medium and good beef steers $6.75 to $14; butch«
er cows and heifers $3.50 to $12-50? feeder steers $6.25 to $8.50; light
and medium weight veal calves $10 to $13; fat lambs $13.75 to $15.65;
feeding lambs $13.50 to $15.60; yearlings $9.75 to $12.75 .and fat ewes
$4.50 to $8.25.
Virginia Sweet potatoes steady to firm in eastern markets ranging
$3.50--$4.75 per barrel, $1 lower in Chicago at $5, Uew Jersey sacked
Irish Cobbler potatoes weakened to a range of $2-'$23 50 per hundred pounds
'in Eastern markets. Minnesota Early Chios sold 10<^ lower at $1.90-$2
on the Chicago carlot markets; firm in other midwestern cities $2.25-
$2.K). Elberta peaches from IJew Jersey declined 25^-50^ selling at $2"-
$3 per six basket' carrier and bushel basket in Eastern terminal imrkets;
$3..50~$3,75 in Cincinnati. New York Concord and Moore's Early grapes
ranged 75^-$l per l2-quart basket in New York and Pittsburgh. New York
Oldenburg apples selling at $3>-$4 per barrel on the New York market,
wealthys $4-$4.50.
Closing prices on 92 score butter to-day: New York 46; Chicago
43 3/4; Philadelphia 46 l/2; Boston 46.
Grain prices quoted September 2: No.l dark northern Minneapolis
$1.52-$1.71. No. 2 red winter Chicago $1.66 l/2; St. Louis $1.73«.$1 .77;
Kansas City $1.70-$1.71. No. 2 hard winter Chicago $1»50 l/2; St. Louis
$1.60; Kansas City $1.60-$1.65. No. 2 mixed com Chicago 92 1/2-94 1/4 ■
cents; St. Louis 94 cents; Kansas City 87-87 3/4 cents. No. 2 yellow
com Chicago 94 1/2-95 cents; St. Loiiis 95 cents; Kansas City 97 cents.
No. 3 yellow com Chicago 93-94 cents; Minneapolis 90 3/4-91 3/4 cents.
No. 3 white com Chicago 93 l/4~93 l/2 cents. No. 3 white oats Chicago
39-39 1/2 cents; St. Louis 40 I/2 cents; No. 2 white oats Kansas City
40 1/2-41 cents. No. 3 white oats Minneapolis 36-36 I/2 cents.
Average price of Middling spot cotton in 10 designated markets
advanced 20 points, closing at 21-91^' per lb. New York October future
contracts advanced 22 points, closing at 22.33/. (Prepared by Bu. of Agr.
Econ. )
Sept. 1, Sept. 2, 1924
139.78 104.95
100.90 90.58
ndustrials and Average closing price Sept. 2,
Railroads 20 Industrials 137.22
20 H.R. stocks 99.93
(Wall St. Jour., Sept. 3.)
Prepared in the United States Dei>artmei5t of Agrieultnre £er the parpcsa of presenting all shades of opinion as
reflected in the press on mctters sliecting agriculture, partScisIririj'' in its economic aspects. Responsibiiity, approrsl
or disapprovai, for vieM's aad opinions qisoted is eipre<E«iy disclaimed. The inteat ia io reflect accurafely tha
news of importance.
Vol. XVIII, No. 56 Section 1 SeptemlDer 4, 1925.
THE PACKER CASE An Associated press dispatch to-day states that Attorney
General Sargent is expected in some q-uarters to refuse to submit an
opinion as requested hy Secretary Jardine on the legality of the
merger of the Amour and other packing interests. The Attorney General has "been
advised that Congress specifically ^ve full power of administration of the Packer
and Stockyards act to the Secretary of Agriculture.
LAND BAM lUTEBEST A Colorado Springs dispatch to the press of September 4' states
that at the closing session of the seventh annual convention of the
American Association of Joint Stock land Banks September 3, a program
TOS formulated ^ich the dele^tes from fifty-six joint stock land hanks expect will
increase hy several hundreds of millions of dollars the supply of money availalile
for faim requirements at lower interest ratesr. Representatives of the United States
(lOvemment gave counsel respecting ways and means of amplifying the amount of money
that each year may he lent to responsible farmers. The Joint stock land hanks ex-
pect to borrow money from the public through the sale of wholly tax-exempt bonds at
4| per cent. This money in turn will be lent by them at 5| per cent. Both interest
rates represent a concession of one-half of 1 per cent under present prevailing
levels, Robert A. Cooper, Farm Loan Commissioner, told the delegates that "for the
first time in the history of the United States there is now an abundance of money
obtainable for any farmer who has productive land, a reasonable knowledge of his^
business, and a reputation for paying his debts." This condition, which he attribu-
ted in large measure to the successful operation of the Federal Farm Loan System and
supplementary institutions, was believed by him to insure "prosperity for the farm-
er—a kind of prosperity he never has known before—and a degree of prosperity which
will be limited only by his ability to use with advantage the money he obtains,"
COTTON FAILURES IN A Liverpool dispatch to the press of September 4 states that
LIVERPOOL the failure of two Liverpool cotton brokers' firms September 3
temporarily created great excitement in the Cotton Exchange, but
yesterday afternoon the market, later dropping 70 points at the first
news of the failures, had returned to normal. The firms which failed are H. R.
Bowler & Co. and Alfred Foinquinos & Co. The first named is involved to the extent
of between 50,000 pounds and 60,000 pounds, ^'.ich is the bluest failure on the
Liverpool Exchange for several years. The Foinquinos firm, a comparatively small
concern, was unable to meet liabilities amounting to only about 300 pounds.
H. S. Bowler & Go. was engaged in birring cotton in England and selling in America,
"but was not trading in actual cotton. The failures were the outcome of a fluctuat-
ing market.
Vol. XVIII. No. 56
- 2 -
September 4, 1935.
. Section 2
Australian- A Melbourne dispatch, to the press of September 3 states that the
Canadian commercial trade agreement between Canada and Australia was ratified "by-
Treaty the Australian Senate September 2. It was amended to provide that before
imports entering Australia are entitled to the British preferential
tariff they mast be 75 per cent the product of British material and labor,
instead of only 25 per cent, as was the case under the old Australian
regulation, and was indorsed recently by the House of Representatives,
Flour Exports An editorial in Modern Miller for Aug. 29 says: ..A banker tells
the farmers to hold and get 50c a bushel above the export .level. This is
apt to make a good market in the United States for Canadian wheat. It
would stop the export of United States grain exports (if successful) and
the result would be lower prices in the end, instead of higher prices.
The best prices would certainly come through esport shipments sufficient
to eliminate the export surplus. Holding wheat won't accomplish this re-
sult. It will stop export shipments and some farmers will find out that
artificial price making is unhealthy commercialism. We can conceive of
no surer way to defeat the farmer than to force a basis that invites
Canadian wheat flour to be marketed in our Eastern States and this situa-
tion is not an improbable development. It is not wholesome to get out of
line for export business. It would be disastrous to our flour trade in
the West Indies; it would put us a step backward in European markets. If
it is a case of crop, it can not be avoided, but if it is a case of arti-
ficial marketing through holding, then the farmer has helped to injure
the trade with the markets that absorb his products."
French-Argentine A Buenos Aires dispatch to the press of September 3 states that a
Air mil French air mission, headed by Premier Charles Murat and M. Portel, head
of the Latecoere Air Coiopany, has arrived at Buenos Aires to close a
contract with the Argentine Government for an aerial mail service between
France and Argentina. The project also calls for a fast steamer service
between Pernambuco and Dakar, Senegal.
Irish Agriculture An editorial in The Farmers* Gazette (Dublin) for August 22 says*
"During much recent discussion regarding the inherent weaknesses 'Jihich
agriculture shows, too strong a tendency was evidenced to frame prospects
on the existing scale of production. The wheels of the farming machine
sometimes run slow, but later they speed up again. It is not this year
nor that year that deserves to be hit upon to test the heart-beat of the
industry. Above all other forms of productive effort, farming is least
suited to be taken to bits, as it were, at any particular half-year and
judgment pronounced upon its decadence or its progress iveness. Tlie
cardinal fact that deserves the closest examination is the relationship
between demand, and the manner in which this affects the volume of pro-
duction. Any weakening in demand caused by lowered purchasing power is
reflected in decreased exports, just as buoyancy in prices stimulates a
larger output to the cross-Ciiannel markets. Countries do not stand alone.
Trading makes this impossible. When one suffers from a trade depression,
the other is bound to share it. more especially if one be a producing
and the other a purchasing country A shrinkage in the numbers of live-
stock exported from this country, and a falling off in the bulk of farm
produce sent out within a period of months need give no serious cause for
alarm When the tide of demand begins to flow again, the forces of sup-
ply will assuredly revive to meet it.... The argument may be advanced that
7q1. XVIII. No. 56
- 5 -
September 4, 1925.
other coii5)eting co-untries of supply show no weakening in their grip of the
common market, and are actually strengthening their hold upon it l)y for-
warding a larger bulk of produce, and "by perfecting their marketing organ-
ization. As against this, it may be pointed out that abnormal times pro-
duce abnormal market tendencies. If it was the fact that during the war
years when the earning powers of the working classes reached a height such
as was never known before, demand concentrated chiefly on the dearest
commodities, it is as certain that when means are restricted, the smallest
difference in price between any two commodities will lead a great propor-
tion of cons-umers towards the cheaper article. These are slow under-
surface movements in the general market trend, and may be expected to
disappear as consumption quickeils under a brisker industrial trade."
Synthetic An editorial in The India Rubber World for September 1 says: "With
Rubber eveiy upswing in the price of crude the nightmare of planters and the fond
Possibili- dream of cons-umers— synthetic rubber- — seems just ready to materialize,
ties but with every slump it just as strangely fades again into thin air. Even
so well informed an observer as Secretary of Commerce Hoover was for a
time so much impressed with the looming rival of real rubber as to expect
its early use in American industry, but, the Bureau of Standards having
pronounced its manufacture impracticable, he now states that manufacturers
can hope for little relief from that source. If the rabber industry is
to effectively fight the rise in crude, he advises, its best recourse lies
in the more extensive use of a material which, though it may have had as
many lives as the proverbial feline, is still unexcelled as a substitute
for natural rubber, — old, reliable reclaim. . .Possibly rubber raising has
a future as well assured as that of coffee cultivation; or, with startling
suddenness, it may encounter a chemical co3:^etitor that may force even
the proud Hevea to struggle with the lowliest African grades for a place
in the sun. The economic production of synthetic rubber may now baffle
the chemists, but it does not discourage them. They like to amai^e the
incredulous, and their brilliant achievements warrant their confidence
that in the near future they will originate a commercial product that will
be not only caoutchouc but also have the minor essentials of good, working
rubber. So eminent an authority as President James F. Norris of the
American Chemical Society stated during its recent annual convention that
not only is the problem of synthetic rubber being attacked more earnestly
than ever, but that its solution seems probable through the more economi-
cal production of butyl alcohol, a by-product of com fermentation.
Butyl alcohol has made possible the replacement of car varnish with nitro-
cellulose lacquer; and so may its derivative acetone, from which the Ger-
mans in war days made isoprene and usable rubber, yet prove indispensable
to the rubber trade. Such an accomplishment should be no more marvelous
than the conversion of the fluids phenol and formaldehyde into a resin
that viee with hard rubber. And even if the com product were to disap-
point us. Doctor Norris reminds us that we still have in crude petrol em
a potential base for a limitless supply of rubber."
'Tuberculosis An editorial in Country Life (London) for August 22 says; "The re-
^Ca+ft*^^'^ imposition of the Tuberculosis Order of 1914, which was suspended on the
tattle outoreak of the war, again draws attention to the serious question of
tuberculosis among dairy cattle. While many opinions exist concerning
the best methods of dealing with this trouble, there is at least unanimity
that the disease is a serious menace not only to cattle, but also to child
Vol. jCIUI, Up. 56
- 4 -
September 4, 1935.
life. The efforts which have "been made to cope with the prohlem in this
couatry have "been very feeble when accomt is taken of its serious nature
Those breeders who are in the pedigree business Imow of the loss which
failure to 'pass the test' means with many of their best anirrals. In
consequence, there has been in recent years a marked endeavor to improve
the bill of health in respect of freedom from tuberculosis, especially in
bull-breeding herds and where the export trade is concerned. These : -
efforts,, however, touch only the fringe of the disease, for commercial
herds of dairy cattle are known to be badly afficted. . . -Considerable space
has lately been given in the press to the emploj/ment of vaccines for
rendering cattle immune from tuberculosis. The Spahlinger treatment, for
instance, has been much canvassed, and since the return from Geneva of
the five medical members; of Parliament, who recently went there to in-
vestigate it, a 'Bovine Tuberculosis Committee' has been formed to carry
out tests on cattle in this country. Comment on the employment of vac-
cine has been rather pessimistic. Previous, attempts have failed, and
there is, therefore, a disposition to argue that the same fate will be-
fall the present experiments."
Weather and An editorial in The Journal of Commerce for September 3 says: "The
Overproduc- Department of Agriculture has again felt it necessary to warn the
tion farmers of this country to guard against overproduction next year as a
result of high prices ruling during the current season and, for that
matter, still in effect. There is perhaps more danger of some such-
development in the case of fall sown crops than appears on the surface.
It is to be recalled in this connection that a relatively iow yield per
; acre in the cases of wheat and cotton, at all events, is the only thing
that prevented an abnormal output this year as a result of last year's
high values. It is, accordingly, to be assumed that the' faituers of this
country by and large fully intended to increase their production this
year. Th^t such a policy had been decided upon by the rank and file of
the farmers has been fairly clear almost from the first. It' would, of
course, be hazardous to attenipt to forecast prices during the coming
autumn and winter, but there is in the present situation nothing to sug-
gest that the farmers on the average throughout the cotmtry will not
find it possible to obtain profitable prices for the products they have
to sell. If they do and are persuaded thereby to increase their acreage
for another season over the rather exceptionally large area of this year
they are- more than likely to have cause for regret, unless indeed the
weather plays another trick on them next year."
World Production^ "It is commonplace knowledge that the laborer of to-day enjoys
luxuries unknown to the kinds of the eighteenth century. Vast areas of
the earth»s surface, inaccessible a century and half ago to the centers
of civilization, have been brought into the circle of the world's comr-
merce and a vast flood of foods and raw materials has been poured into
the marlrets of the world as a result. New mechanical inventions are
welcomed and great industries are constantly striving, with the approval
of the world, to find better and cheaper ways of turning out a greater
and greater volume of goods. Governments are seeking to teach the farm-
ers new and better ways of turning out more and better food products.
Experts are studj^ing the potentialities of labor, trying constantly to
find better ways of co-ordinating labor in the interests of large per
capita output. We are not afraid of increased production that comes in
these ways. We have seen, through the past centuiy and alhalf, demand
Vol. XVIII. ?To. 56 ■ - 5- Septeniber 4, 1025^
expanding with supply, conSTomption expanding with production. Our
h-undred million people consiame vastly more than the four hundred miliiony
of China, with their low productive capacity, can consiome. We cons-ume
more "because we produce more- Our ability to constime moves parallel with
our ability to produce. The increasing supply of one product ena'cles the
cons-umers of that product to offer more to the producers of other prod-
ucts. Yiheat comes into the market as supply of wheat, but also as demand
for other goods, and so with eveiy other commodity. Each is supply of
its own kind, hut also is demand for other things. These propositions
are commonplace. It is only necessary to state them to command an assent
to them. Why should the world fear production which grows out of in-
creased productive capacity in Germany, and increased exports from
Germany, if it does not fear production that groT;s out of a new mechanical
invention or cheaper ocean transportation or the discovery of new sources
of raw materials? n (B.M.Anderson, jr. , of Chase National Bank,I?.Y.)
I/iAEKET QUOTATIONS
Farm Products September 3: Chicago hog prices closed at $13.30 for the top and
$11.30 to $13.10 for the bulk. Mediiom and good beef steers $6.75 to
$14.25; butcher cows and heifers $3.50 to $12.50; feeder steers $6.25 to
$8.50; light and medium weight veal calves $10.25 to $13. Fat lambs
$13.75 to $15.65; feeding lambs $13.75 to $15.75; yearlings $9.75 to
$12.75; and fat ewes $4.50 to $8.25. Stocker and feeder shipments from
12 important markets during the week ending August 28: Cattle 78,122;
hogs, 6,628; sheep 115,609.
New Jersey Sacked Irish Cobbler potatoes $l,85-$2.50 per h-undred
povin.ds. Long Island Green Mountains $2.24-$2.65. Maine Irish Cobblers,
sacked and bull:, $2-$2.15 in Eastern teiminal markets, Minnesota Early
Ohios $1.90-$2.40 in raidwestem cities; $1.85-$1.90 at Minnesota shipping
points. New York and Massachusetts Yellow onions jobbed at $2-$2.75 per
hundred potinds sacked in Eastern consming centers and brought $2.15-
$2.25 f.o.b. in the Connecticut Valley. Virginia Sweet Potatoes, Yellow
Varieties, brought $4.25-$5 per barrel in most cities, lower in Baltimore
at $3.50-$4. New Jersey Elberta peaches ranged $2.25-$3.50 per bushel
basket in the East. Colorado Elbertas $3.50-$4 in midwestem markets
Delaware Concord grapes sold at 75^-$l per l2-quart climax basket in
Baltimore and Pittsburgh.
Grain prices quoted September 3j No.l dark northern Minneapolis
$1.53-$1.72. Ho. 2 red winter St. Louis $1.74-$1.78; Kansas City $1.69-
$1.71. No.l hard winter Chicago $1.56 3/4-$1.58 I/2; No. 2 hard winter
St. Louis $1.61; Kansas City $1.57-$1.65. No. 2 mixed com Chicago 98 I/2-
99 3/4 cents; Kansas City 91-92 cents. No. 3 mixed com Minneapolis
91 3/4-93 3/4 cents. No. 2 yellow com Chicago 98 l/4-$1.01; St. Louis
99 1/2 cents; Kansas City $1.00 I/2. No. 3 yellow com Chicago 97 3/4-
98 3/4 cents; Minneapolis 95 3/4-96 o/4 cents. No. 3 white com Chicago
97 1/2-98 1/4 cents; No, 2 white com St. Louis 99 cents; Kansas City 93
cents. No. 3 white oats Chicago 39 1/4-40 l/4 cents; Minneapolis '37 3/4-
37 7/8 cents; St. Louis 42 cents; No. 2 white oats Kansas City 41 l/2j^.
Average price of Middling spot cotton in 10 designated spot
markets advanced 21 points, closing at 22-12^ per lb. New York October
future contracts advanced 21 points, closing at 22.54ji.
r-i • ^^^^^^^ wholesale prices on 92 score butter to-day: New York 46;
Tn^,,.f.-.i ^^'^5^S0 44; Philadelphia 46|; Boston 46. (Prepared by Bu. of Agr. Econ.)
inaust rials and Average closing price Sept. 3, Sept. 2, Sept. 3,1924
Eailroads 20 Industrials 139.91 137.22 104.02
20 R.R. stocks 100.57 99.93 90.13
(Wall St. Jour., Sept. 4.)
DAILY DIGE
Prepared in the United States Department of Agricultcre for the purpose of presenting all shades of opinion as
reflected in the press on matters affecting a^culture, portictdarly in its economic aspects. Responsibility, approval
or disapproval, for views aad opinions quoted is expressly disclaimed. The intent is to reflect accurately the
news of importance.
Vol.r/III, 17o. 57 Section 1 September 5, 1925.
COLOUEL GKEELEY A Seattle dispatch to the press to-day says: "The whole con~
ON COKSEEVATIOU serration policy of the United States, "built up during the Roosevelt
Taft, Wilson and Coolidge administrations, is facing a crisis, and
should the demands of the livestock growers "be enacted into law it
would mean, in the opinion of Colonel G-reeley, head of the Forest Service, the death
of the conservation movement. What the cattle and sheep growers of the eleven great
public land States are dfjnianding is nothing less. Colonel Greeley contends, than the
transfer of the great forest domain from Federal to private control; in other words,
to the control of the northwestern and southwestern livestock men. 'I have studied
very closelj'-,* said Colonel G-reeley, wiio is accompanying the Senate Committee on
Public Lands on its lour of the public domain States, 'the demands of the cattle and
sheep men which the national org.jcitiations of those men approved at Salt Lake City
last week. First of all, they demand the legalization, definition and protection
of their rights to use the ranges in the national forest, these rights to be based
on an area, and not aper head of cattle or sheep basis, as is now the case. In a
nutshell, this wdaid iL^an tliat the stock man would have a definite area allotted to
him to be grazed as he chose, with as many head of stock as he cared to put on it, ■
and he could keep them there as long as he wanted to. That would mean just one
thing, namely, the end of the whole range conservation program of the Government.,..
In conclusion I want to say that there is justice in some of these complaints on the
part of the cattle and sheep men. The business does need stabilizing, and whatever
is done should be carried out in such a way as not to trpset the business of the old-
time stockmen. Their status on the range should be defined, and, personally, I fav-
or with necessary restrictions the granting to them of ten-year leases, and we are .
new seeking to make that possible. And these contracts should be as binding on the
Government as on the stockmen. There should also be in each of these livestock
States a Board of Appeals on which the stockm.en should be represented and from the
rulings of which the stockmen as well as the Government should have the right to ap-
peal to the Secretary of Agriculture. This business can be stabilized and the Gov-
ernment should, wherever possible, aid in bringing this about.'"
GBAH EATES Increased rates on grain products fro:a Chicago, Joliet, Lock-
port and Peoria, 111., to destinations in Arkansas on the Missouri,
Pacific Railroad, were ordered suspended by the Interstate Commerce
Commission September 4 until January 3. Hearings will be held on the fairness of
the new rates which are approximately 5 cents per 100 pounds higher than the present
rates. (Press, Sept. 5.) .
COTTOIT PICKERS A New Orleans dispatch to the press of September 4 states that
lAUTED unless aid is sent at once to Caddo and Bossier Parishes, Louisiana,
a large percentage of this year's cotton crop there will be lost, ac-
cording to J.B.Anthony, Caddo Parish, agricultural agent, who sent
out a call three days ago for 10,000 cotton pickers. Up-to-date only two have re-
sponded. Two-thirds of the cotton is already open, Mr. Anthony states, and the re-
mainder is opening rapidly.
Vol.Xyill. No. 57
- 2 -
September 5, 1925.
Section 2
Chicago Trade A Chicago dispatch to the press of September 4 states that members
Board Plan of the Chicago Board of Trade September 3 adopted an amendment authoriz-
ing the creation of a new system for clearing trades in grain futures.
The vote was 601 to 281. By this action, awaited with intense interest
throughout the grain industry, the exchange fulfilled a pledge to the
Government that constructive measures to further prevent wide price swinge
would be made operative as rapidly as possible. Frank L. Carey, presi-
dent of the exchange, declared it to be "a great forward step which will
benefit everyone interested in the marketing of grain. In cooperation
with the Department of Agriculture, we shall strive to carry out other
important measures in the near future," he stated. "By reason of these
contemplated changes we ejcpect to meet the other constructive su^estions
advanced by Secretary Jardine."
The dispatch further states that proponents of a new clearing
house system have expressed belief that a more modem method would have
tended to stabilize the market during the orgy of public speculation
early this year when a world wheat famine threatened. By the action
taken on Thursday, which is regarded as the most iniportant change in re-
cent years, the exchange is authorized by the 1,600 members to proceed
with the formation of a new clearing house association to replace the
present one, which has been subject to criticism. Details of the plan,
which is expected to follow that now in effect at some of the other grain
markets, are expected to be worked out in the very near future.
Cotton Crop"^ An editorial in The Wall Street Journal for September 3 says-
Estimates "liJhatever estimates, official or unofficial, may have been made of the
cotton crop, one thing must be kept in mind— the crop is not yet made. It
is still a weather crop, and final returns may differ widely from present
prospects. The crop is more apt to be overestimated than otherwise. A
new cotton area has come to the front that of itself may radically change
the situation. That is western and northwestern Texas, which last year
came into prominence with 1,200,000 bales. With a greatly increased
acreage its present prospects are for 1,700,000 bales. There is not
another State in the whole cotton belt with an indicated crop approximate*
tng this new section except Oklahoma, which on August 16 was estimated
at 1,693,000 bales. West Texas has an average frost date of October 25.
If frost comes early in Uovember the estimate now made may be cut a third.
... Tendency of the average man is to regard rains, especially in Texas,
as extremely favorable. But it is no more than a gambler's chance that
rain now could help some millions of acres in Texas, Georgia and South
Carolina. Undoubtedly the large ginning returns will seem confiimation
of large crop estimates, which may be realized. But it is still a weath-
er proposition for a considerable area, making estimates no- more than
guesses."
Section 3 4
Department of A Yakima, Wash., dispatch to the New York Times of September/ says:
Agriculture "That fully 95 per cent of all the national forest rangers, who are the
men in actual control of the national forests, are absolutely ignorant of
the problems attending their duties, was charged before the Senate Com-
mittee on Public Lands, September 3. by officials of the Washington State
Wool Growers' Association. These men, all of them big figures in the
western sheep industry, practically asked for legislation which would make
them independent of the national forest administration, as far as the
utilization of the forests for grazing purposes is concerned. The
Vol. XVIII. No. 57 ■ ^ 3 September 5. 1925._
construction of good r6ads in the forests was also deplored, as was the
use of these forests hy tourists. On the other hand the representatives
of- the cattlemen's organization were not so bold or sweeping in their de-
mands. Statistics were offered in evidence which indicated that in the
last three or four years the number of cattle producers has been reduced
more than one- third, while the size of the herds, which a few years back
grazed on the national forests and public domain, have decreased propor-
tionately. Out of more than 3,500 cattlemen who were peimitters in the
Umatilla forest, less than three years ago, approximately 33 per cent
have been driven out of business, while those who remain are operating
at a loss, it was asserted, while scores are facing bankruptcy.^ The in-
dustry, it was testified, was never in a more precarious condition, and
it. was the argument of those who pleaded the cause of the cowmen, that
unless something is done to put the industry back on its feet, the Ameri-
can people will find themselves paying the penalty in meat prices, which
may reach mountain high proportions "
Section 4
. MAEEET QUOTATIOKS
Farm Products Sept. 4: Chicago hog prices ranged from 20^ lower to 10^ higher
than a week ago, closing at $13.30 for the top and $11;^ 10 to $13.10 for
the bulk. Medium and good beef steers 25^ lower to 25^ higher at $6.75
to $14.25; butcher cows and heifers steady to 50?^ lower at $5-65 to
$12.50; feeder steers 25^ lower to $1 higher at $6.25 to $8.50; light
and medium weight veal calves 25j^ lower to 50/ higher. Fat lambs 4o/
to 50/ higher at $13.75; yearlings 50^ higher at $9.75 to $12.75 and fat
ewes steady at $4.50 to $8.25. Stocker and feeder shipments from 12
important markets during the week ending August 23: Cattle and calves
78,122; hogs 6^.628; sheep 115,509.
New York cabbage ranged $30-$40 bulk per ton for Domestic Round
type in Eastern markets. New York Oldenburg and Wealthy Apples brought
$l-$l-50 per bushel basket in Eastern markets and growers received 90^-
$1.10 at country loading points, Virginia Yellow Varieties sweet pota-
toes jobbed at $4-$5 per barrel in city markets. New Jersey sacked Irish
Cobblers ranged $1.85-$2»35 per hundred pounds in Eastern consuming cen-
ters. New York Bartlett pears are selling at $1.75-$2.25 per bushel
basket in terminal markets; $1.75-$2 f.o.b. at New York shipping points.
■ • Delaware Concord grapes brought 75/-$1.00 per 12-q'uart climax basket in
Baltimore and Pittsburgh.
. . ■ Grain prices quoted: No.l dark northern Minneapolis $1.52--$l-70.
No. 2 red winter Chicago $1.69 l/4; St. Louis $1.75-$1.79; Kansas City -
$1.70. No. 2 hard winter Chicago $1»58 l/2; St. Louis $1.59-$1,65; Kansas
City $1.60-$1.57. No. 2 mixed com Chicago $1; Minneapolis 90 cents;
Kansas City 92 1/2-93 1/2 cents. No. 2 yellow com Chicago 99 l/2-$1.02;
Kansas City 99 cents; St. Louis 99 cents. No. 3 yellow com Chicago 99 l/2-
$1.02; Kansas City 99 cents; St. Louis 99 cents. No. 3 yellow com Chicago
99 l/2-$l»01; Minneapolis 94 1/2 cents. No, 2 white com Chicago $1;
St, Louis 99 cents. No. 3 white oats Chicago 40 cents; Minneapolis 37 cefits-
St. Louis 41 1/2 cents; No. 2 white oats Kansas City 40 I/2 cents.
Average price of Middling spot cotton in 10 designated spot markets
declined 9 points, closing at 22. 03^ per lb. New York October future con-
tracts declined 15 points, closing at 22. 39^.
Closing prices on 92 score butter to-day^ New Yoifk 46|; Chicago
44i; Philadelphia 47; Boston 45.
Industrials and Average closing price Sept. 4, Sept. 3, Sept. 4, 1924
Railroads 20 Industrials 140.88 139,91 102.77
20 S.R. stocks 101.36 100.67 89.45
(Wall St. Jour., Sept. 5.)
prepared in the United States Department of Agriculture for the purpose of presenting all shades of opinion as
reflected in the press on matters affecting agriculture, parliccSarly in its economic aspects. Responsibility, approval
or disapproval, for views aad opinions quoted is expre«»9ly disclaimed. The inteat Is to reflect accurately the
news of importance.
Vol. XVI II, No, 58 Section 1 • ' September 8, 1925
MIF/EST FAEI.'!EHS A Chicago dispatch to the press to-day states that represents.
M3ET FOR BATE tives of agricultural organizations of the Middle West met at
DISCUSSIOIT Chicago September 8 to complete plans for entering the fight which
the railroads of the country will open before the Interstate Commerce
Commission to-day to obtain a rise in freight rates. At previous coi-
ferences in Des Moines and at Kansas City twenty-four different famer societies
effected a combination for the fight, which will be carried on jointly. Among the
leaders will be Fred S. Jackson, formerly attorney General of Kansasj William Hirth,
Columbia, Mo., and Attorney Ruby M. Kulen, The railroads are relying on provisions
of the Esch"C-ujjmins law, allowing them the right to a return of 5 per cent on their
investment and permitting a raise in freight rates to make this possible. On the
other hand, farmers are supporters of the Eoch-Smith resolution sanctioning special
favors in the matter of rates on farm commodities, while still a third faction sup-
ports the idea of dividing up the excess profits of the larger and stronger roads
among the smaller lines by adjusting the rates on joint hauls, "A larger rate such
as the roads ask for will do no good," says Mr. Jackson, spokesman for the farmer
organization, "It will simply increase the returns of the larger lines. What shou?.f
"be done is to adjust the division of the charges, allowing these snmll lines a larger
percentage of the freight rates on the joint hauls, I think it is right for the
short lines to charge the same as the others. I think, too, it might be well to
give the roads the right to charge more in cases where they have a monopoly of the
territory they serve." The hearings are schedule.d to last until September 16.
NEW COTTON TPAD- The press to-day s tates that Richard' T. Harriss, president of
INS RULE the New York Cotton Srcchange, called attention yesterday to an im-
portant change in the rales governing trading in cotton designed to
eliminate the congest j on which sometimes has occ-o.rred toward the end
of the month. "The cotton trade generally is greatly ir/ccrestcd in the amendment
to Rale 10 of the New York Cotton Si^change, which was adopted last December and ■
which becomes effective for contracts maturing in December, 1925, and thereafter,"
Mr. Harriss said, "whereby all trading in the current loonth vill cease at noon on
the tenth day thereof. If the tenth day should fall upon a Sunday or a holiday,
trading will cease at noon on the preceding businosrs day. It is generally believed
that this change will prove very satisfactory in what is expected to eliminate the
congestion which at times has occu.rred in the past when trading in the current month
continued \mtil within five business days of the end of the month."
SYNTHETIC MEAT An Ottawa dispatch to the press of September 7 says: "Synthet-
ic beef steaks made from cottonseed are forecast by Dr. Davis Wesson,
of New York, fomer president of the American Institute of Chemical
Engineers, Speaking "before the Ottawa section of the Society of Chemical Industry,
he said, recent investigations by the United States Deparbrcent of Agriculture showed
the-t the protein of cottonseed clossly resembled that of meat, It was only a ques-
tion of time before chemists discovered how to produce a meat substitute from the
seed."
vol. XVIII. ITo^ 58 ■ . - 5 - Septeml3er 8. 1925^
Section 2
Canadian A dispatch from Edmonton to the press of Septemher 4 states that
Cattle Ex- if present plans are followed out, the Livestock Producers of Canada, th'
port "big feeding and exporting fim which has its feeding headquarters at
Edmonton, will, during the coming winter, douhle the scale of its opera-
tion locally, which means that at least 20,000 head of cattle will "be ex-
ported from the Edmonton district in the course of the next season.
Mr. H. P. Kennedy, of Toronto, president of the company, has ;3ust re-
turned from a trip to Great Britain, where he found that not only are
finished Canadian steers in demand, "but there is an unlimited market for
store cattle to he put in marketahle condition on Scottish and English
farms .
Cooperation Harold Scarborough, writing from Finland to The Baltimore Sun of
in Finland September 3, says: "Cooperative buying and selling has probably made
further advances in Finland, than in any other country. The Pellervo
Society, formed to promote cooperation before cooperation had ai^r practi-
cal existence here, celebrated its twenty-fifth anniversary last year. In
most countries central organizations for the management of cooperative
business usually have followed the formation of small neighborhood units,
which have decided that a central head and management is necessary for
them, but in Finland the reverse has been the case. Having arranged for
the organization of such units, the Pellervo Society then devoted its
attention to central organization, and thus worked outward. Various
reasons are given for the success of the cooperative movement here . The
chief ones are that about ninety per cent of the population live in rural
communities or small villages, and that the people are so scattered it
would be iinpossible that adequate stores for buying or selling could be
maintained out in the country. Another reason is the naturally thrifty
character of the peasants, who want to cut out all middle profits and
overhead expenses as far as possible. Still another is that the number
of farmers with good education is small, and the peasants feel that it
is best for them to have experienced business men represent them in their
dealings with the outside world.... The local cooperative societies are
distributive of consumers' societies and credit societies, which have
done an important work in -©xiabling their members to get needed credit at
fair rates. The most important are the distributive siocieties, and their
membership is nearly double that of the credit societies. Ninety per
cent of the stores are in the rural districts, and many of these act both
as buyers and sellers, taking in the produce of the members and giving
them goods or cash in exchange, just as country'- stores do in the United
States — .Cooperation seems peculiarly adapted to dairying, and almost
the whole dairy trade of the comtry is conducted in that manner. The
first twenty-eight cooperative dairies were established in 1902. The
Government has helped by granting loans at low interest up to one-ha;if
the first cost of starting dairies. Many of the dairies have established
side lines, such as sawmills, flour mills, electrical plants and purchase
of tractors for rent. Both the dairies and the consumers' societies add
almost the whole of their surpliises to their reserve funds "
Cottonseed as P.O. Davis, of Auburn, Ala, , writing in Manufacturers Record for
Feed September 3, says: "Although it is not generally re^rded as such, one of
the big contributions made to the agricultural wealth of the Southern
States is the production of cottonseed, having an annual farm value of
$175,000,000 or more. Just why the value of the seed is not more fully
Vnl.mil. No. 58
- 3 -
September 8. 1925.
appreciated is difficult to explain, except perhaps that it is over-
shadowed "by the value of the lint. Likewise, it is difficult to explain
why farmers in other sections of the United States, and also in Europe,
appreciate cottonseed meal far more as a feed than do the farmers of the
South where it is produced. Lack of appreciation and failure to feed it
are now costing the South millions of dollars each year. The loss is in
the fonn of nitrogen carried off the farms when.- cottonseed meal is
shipped away, feed imported which it would replace, and also in the form
of profits which were missed because southern farmers failed to feed it
at home. For several months, L. T. Wells, dairy specialist for the Ex-
tension Service of the Alabama Polytechnic Institute, Auburn, has been
making a thorough study of cottonseed meal as a feed, not only for dairy
cattle and beef cattle but for hor&es and mules. He found that the South
produced last year approximately 1,515,918 tons of cottonseed meal, which
at $40 a ton was worth $60, 635:, 720. Since only a part of the total seed
produced is ground into meal, and that in manufacturing this meal
979,000,000 pounds of cottonseed oil, 941,000 tons of hulls and 670,000
bales of linters were secured, this figure does not by any means repre-*
sent the total contribution to the agricultural wealth of the South by
cottonseed."
Hunting and An editorial in The Jield Illustrated for September says: "Member:-'
Farm Lands of the Walden, N.Y., Sportsmen's Club met with farmers in Orange and
Dutchess County recently to discuss the proposed posting of farm lands.
The plan has met with general approval. The only point involved concerns
the question of whether the farmers, in allowing privileges of hunting
and fishing to friends who may not be members of sportsmen's clubs, woult'
be signing away their personal rights. Secretary Swinden of the Walden
Club stated that fact clearly when he explained that clubs only desired
the privilege of having the hunting and fishing on farm properties and
in return they desired to post the farm lands to keep off the pirates
and pot hunters. The plan now proposed is that a committee of farmers
meet with a committee of sportsmen and draft rules agreeable to both. It
• is well that sportsmen and farmers are getting together by common agree-
mentj both will profit. The sportsman will have his season of hunting
and fishing and the fame r will receive adequate protection for his prop-
erty. In times past, where, properties were posted without any definite
understanding as to the fanners' rights, both the sportsman and the faxm-
er suffered. Under the proposed regulations the farmer will control the
situation completely, while the sportsman will be wholly responsible for
the proper care and protection of farm land. This is as it should be.
Every good sportsman will safeguard the interests of farmers on whose
lands he is privileged, to hunt and fish and the invader and pot hunter
will think twice instead of not thinking at all, before he attempts to
impair or invalidate a gentleman's agreement."
"Individual A. W. Shaw, editor of System, in the September issue days: "I
Transporta- have an idea that if it were put up to some mas;ter salesman to sell
tion" these United States of ours he woTild set about the task by putting his
best prospects into automobiles and taking them as far in every directior
as our fine new roads reach. And I do not believe he would return with
a single unenthusiastic prospect. Moreover, he would have utilized a
force that is doing more to transform our country — and therefore our
business — than many of us have the tim.e fully to realize, perhaps.
VoL.TVIII. IJo. 58
- 4 •
Septeml)er 8, 1935.
I refer to trarsportation in general, and in particular to ' individu-al
transportation.' And 'individiml transportation''^ it is, which, per-
haps to a greater extent than any other factor, has been — -is now—- making
this country over under our eyes. It is p\-.lling out our cities into far-
flung suDurbs, yariking our towns into cities, putting Plorida in its
- rightful place on the map, slapping the famer out of his shell, adding
hours to our days..,. But certainly among the most significant of the
many changes brought about by 'individual transportation' is that affect-
ing the farmer. For what affects the fs.naer vitally affects the under-
lying trend vitally—and when the underlying trend is vitally affected,
we are all affected. ^Individual transportation' has, as a matter of
fact, practically made the farmer's mode of life over "
Potato Exchange A Ho-alton, Me., dispatch to the press of September 5 states that
Quits dissolution of the Maine Potato Exchange, a cooperative organization of
3,500 Aroostook and Piscataquis Covnty farirei-s I'cr the growing and
marketing of potatoes, was announced September 4 by the management. It
was said that large members of the exchanse during the last few months
had mortgaged their crops to dealers leaving an insufficiency for the
exchange to handle.
An editorial in Manufacturers Record for September 3 says: "Kenry
Ford may be a very smart and brilliant man in many rays, but he sometimes
makes mistakes. He claims that the cow is not a useful animal, but is an
expensive factor on the fann, and he suggests the substitution of synthet
ic milk for cows' milk. Mr. ?ord is dead wrong. He may know a lot of
things about machinery and the tin bi^siness and iron and steel making and
running railroads, but he is off the track when he claims that the cow is
an uneconomic factor in farm life. The cot7 is one of nature's greatest
and most useful manufacturing creations. The cow requires but brief at-
tention during twenty-four hours. She partakes of the raw material for
food, which enters her system and produces as a finished product the most
wholesome food in the world and, as a by-.prod\ictj the best fertilizer
known to mankind. 7?herever the cow exists in sufficient numbers, prosper
ity prevails on the farm, the land is steadily enriched, giving forth
larger crops, and the milk furnishes all the varied products of the dair-
infinitely better than all the synthetic or artificial food which the
genius of man can bring forth. Mr. Ford's statement is a slander on the
cow. She is one of the best gifts of Heaven for the benefit of humanity.
Talk about abolishing the cow as an uneconomic la.ctor — one might as well
talk about abolishing the sun and depending upon artificial light."
Wheat Held By An Oklahoma City dispatch to the press of September 4 states that
Growers 30 to 40 per cent of the season's wheat crop in Oklahoma remains in pos-
session of growers, according to estimates approved by L.O. Street, of
Woodward, president of the Oklahoma G-rain Dealers' A.ssociation, and
E. A. Fariss, manager of the Trail Grain Company, at Trail, Okla,
Section 3
Department of W. 3. Sheppard, of Jackson, Wyo., writing in to-day's New York
Agrxculture^ Times, says: "Mr, Homaday's fulminations against the Bureau of Biology
ical Survey and the Ajnerican Game Protective Association make what
Horace Greeley used to call 'mighty interesting reading,' to me at least.
There is not the slightest doubt th-at the bag limit on ducks, fixed undei
the Migratory Bird act, is far too high, and Just as little that since
vni'.yyiii. No. 58
- 5 -
1925.
the enactment of that legislation daicks have decreased rapidly. It is
difficult to ascrihe motives, Wyj the bureau and the association favor
the^limit is not oovious . But their attitude in this matter accords wit
the experience of the writer with both covering nearly twenty years.
Neither will do much, if anything, for wild life if by so doing powerful
interests are antagonized. For all that either or both were willing to
do in behalf of the Wyoming elk, these noble animals would long ago have
perished from the earth,!'
Section 4
MAEKET QUOTATIONS
Farm Products Chicago hog prices ranged from 20^ lower to 10^^ higher for the
week ended September 4. Medium and good beef steers 25/ lower to 25/
higher* butcher cows and heifers steady to 50/ lower; feeder steers 25/
lower to $1 higher, Pat lambs 4o/ to 50/ higher; yearlings 50/ higher
and fat ewes steady »
New York cabbage ranged $20'-$40 bulk per ton for Domestic Hound
Type in Eastern markets; and $20 at New York shipping points. Sweet pota-
toes tend downward in most city markets, strengthened at shipping points,
Virginia Yellow Varieties jobbed at $4«$5 per barrel in city markets,
^S^SS-^^ f »o.b. at East Shore Virginia points. Potatoes sell lower than
a week ago. New Jersey sacked Irish Cobblers ranged $1.85-2.35 per
hundred potmds in Eastern cons-uming centers. New York Bartlett pears are
selling at $1,75-2.25 per bushel basket in terminal markets; $lr75-$2
f ,o,b. at New York shipping points, Delaware Concord grapes brought
75/-$l,00 per 12 quart climax basket in Baltimore and pittsburgji.
Cheese markets irregular and lower. Prices on Wisconsin Boards at
close of the week showed tendency toward further slight reductions. Trad-
ing inclined to be slow and is being done with caution. June cheese be-
ginning to move in a small way at distributing markets.
Hay market irregular with local conditions governing markets. De-
mand centering on better grades. Damaged or heating hay slow sale, Timo-
thy averaging easier. Prairie and alfalfa practically steady,
Millfeed markets quiet. Wheatfeeds enstremely wealc in Southwest.
Lower prices also prevail in Northwest and $22 is best bid offered for
season bran in Minneapolis. Heavier production of wheatfeeds and in-
creased mill offerings. Interest in futures generally lagging. Cotton-
seed meal easier and quoted about $1 per ton lower f^r all percentages,
supplies and offerings good. Linseed meal steady despite increased pro-
duction, Cornfeeds. unchanged and in good supply but in rather light de-
mand.
Favorable reports of threshing returns in Canada and slow export
demand causing wealcness in wheat market and future prices declined about
4 cents for week. Com market has made sharp advance on fear of crop
damage caused by continued dry weather in Central and Northwest. Oats
steady with com and good demand.
Average price of Middling spot cotton in 10 designated spot mark-
ets declined 31 points for the week. New York October future contracts
declined 17 points. (Prepared by Bu. of Agr, Econ.)
Prepured in the United Statets Deimrtment oi Agriculture for the purpose o£ presentia^ all sliadea of opinion m
reflected in the press on misttcrs affecting agricizlture. partlcalsrly in its economic aspects. Responsibility, approval
or disapproval, for views aad opinioaa qjioted is exppas^y disclaimed. The intent is 4o reflect accurately the
news of importance.
Yol. XVIII, No. 59 Section 1 SeptemlDer 9, 1925.
RUBBER PLANS An Associated Press dispatch from Manila to-day says: "Senator
ATTACKED Jose Clarin, chairman of the Philippine Senate Finance Committee,
Septemhcr 8 attacked the plans of American interests to exploit rubber
lands at Mindanao, in an address "before the Senate. He protested
ag?inst any possible action by Congress in racdifying the Philippine land laws in ord-
er to facilitate control of Mindanao Island by powerftil American interests operating
on the excuse that the rubber indiistry would be developed. Senator Clarin declared
the Jones law gives the Philippine Legislature alone the power to enact laws affect-
ing the islands, "
GEORGIA FAEMEES TO The press to-day states that an unusual plea will be submitted
ASK ROAD WORK to the Federal authorities Friday when a delegation of Georgians from
the drought-ridden sections of their State will ask that the Bureau of
Public Roads, Department of Agriculture, speed road building in
Georgia to give employment to idle farmers and their teams in the arid zone.
COTTON TO RUSSIA A Galveston dispatch to the press to-day states that the All-
Sussian Textile Syndicate, Inc. , which purchased and exported a large
amount of Texas cotton to Russia last season, is preparing to increase
its exports for the coming season, according to information received at Galveston.
The Oleander Compress and" Warehouse Company, which handled the bulk of the syndicate's
cotton last sesson, is constructing an addition to its plant sufficient to handle
8,000 bales, which, with present facilities, will bring the total capacity tro to
35,000 bales.
MONEY RATES Failure of money rates to rise more sharply in the United States
along with expanding business activity is ascribed in the current
American Bankers Association Journal to the fact that this country now
"has a new order of banking. Factors that used to bring about higher rates at the
first signs of tighter money no longer exert the same force. In short, the American
banker, in considering money rave movements, must orient himself on a new base." The
article presents an interview on the subject with John McHugh, president of the
Mechanics and Metals National Bank of New Yoik, whom it quotes as follows: "We now
have a co-ordinated system of banking instead of thousands of banks acting independ-
ently. The Federal" Reserve Sj'stem has made possible the pooling of our resources and
has given us the mechanism for increasing the supply of credit at any tire the demand
increases without causing rates to go a-soaring. Before the war the moving of crops
end the seasonal demand for credit for industrial purposes placed a strain on the
credit supply. Even thou^ we now have a new order of barking, it seems that many
bankers look for a recurrence of this historic advance. Those daya have passed. The
reasons money rates do not go up are the comparatively low Federal Re'=Jerve rate, the
co-ordination furnished through the Federal Reserve System and the confidence on the
part of member banks that they can go to their Federal Reserve bank at any time syith
paper eligible under the law and convert it into cash or credit on short notice. The
days of »high» money rates are over unless the Federal Reserve rates are substantial-
ly increased "
Vol.XVIII. IJO' 59
- 2 -
Septemljer 9, 1925
Section 2
Australian A catle report received at the office of the Australian commission-
Beef Market er states that prices .. for "beef cattle have stiffened consid-
erably throughout the Australian narkets since July. In Sydney and
Melooume, quotations for fat cattle moved up as much as 2 pounds per head,
and the Brisbane market followed also with a decided improvement. The
sheep and lamb season is still backward in Victoria and New South Wales,
and consequently very few carcasses, probably not exceeding 20,000, have
been treated for export purposes. Market prices have naturally tightened,
but now seem to have reached top levels in both States. The exports will
of course be reduced in the near future, but, provided thac the prices in
England are main.tained, a fairly large export movement is expected in
October. (Press, Sept. 8.)
Banker Agri- ^e Banker Farmer for September says: "Much interest and publicity
cultural have been given to the success of the short course for bankers as conducted
Courses by the agricultural committee of the Nebraska Bankers Association in co-
operation with the Nebraska College of A£;riculture. The effort deserves
all the praise it has received. The results were accomplished by careful
planning, effective advertising, and persistent team work on the part of
all who were responsible. This extended over a period of six months. We
asked Dan Stephens, the chairman of the agricultural committee, to give us
the steps that in his judgment made possible the success of the short
course. His reply is briefly summarized as follows: 1. Acquainting the
bankers of the State with the merits of the undertaking. This was ac-
complished by sending out several form letters at different times. 2.G-iv-
ing publicity through newspapers and periodicals 3. V/orking up inter-
est and enthusiasm, for the plan at ail of the group meetings and at the
State convention 4. Early in the canpaign the agricultural committee
met with the officials of the College of Agriculture and mapped out a
program. The features of this program were announced through the various
methods of publicity and especially in all the literature. 5. Near the
close of the campaign a circular letter was nailed enclosing a complete
program of the short course, and urging each bank in the State to have a
representative present. .. -When the Nebraska committee started to work upon
this short course for bankers they had as much indifference to overcome as
would be encountered in any State. The success of the undertaking is an
outstanding example of what can be accomplished by careful planning and by
'teaming in* with other agencies to put over a worth while program."
Faun Financing An editorial in The Banker Farmer for September says: "Chambers of
commerce and other business organizations are frequently called upon to
put up $5,000 to $10,000, more or less, in order to induce some manufactur-
ing concern to locate in their town and establish a weekly pay roll. Some
of these concerns are good; others not so good. It is a mooted question as
to how far this kind of support should be encouraged, especially with those
industries whose future success is somewhat questionable. In our eagerness
to build up our town we are very apt to overlook the development of the
farm factories which surround the town by hundreds, and which are now
operated far below their maximum capacity for quantity, -variety, and qual-
ity of products. In many cases if the same amount of money given to new
industries were used to develop the farm factories which we already have
it would bring many times the returns to the town and the surrounding
country. The inefficiency of many of our farms is appalling. The soil is
impoverished, the seed is impure, cultural methods are antiquated, the
VqUXVIII, No. 59
- 3 -
September 9, 1925^
sires are grades or scrubs, and the beef and milk production in conse-
quence is below wbat it ought to be per unit. Farm iniprovement by in-
creasing quality and decreasing production costs, coupled with economic
marketing, will accomplish the same thing as a Mew factoiy pay roll, and
frequently much more,"
Flour Milling An editorial in The Northwestern Miller, for September 2 says:
"Referring to recent conment on this page on the current situation in
flour milling, with especial emphasis on the prospect for a reduction in
flour production this year, a miller writes to say that his company has
definitely closed one of its plants and will make no great effort to run
the other to full capacity. This action is taken, not only in the inter-
est of operating econony, but to adjust its flour output to conditions as
the owners interpret them. ^Many mills in central states," the writer
continues, 'have not attempted to run more than half time for the past
three or four years. One miller told me recently that he is undertaking
to operate but 1,100 of his 2,500 barrels capacity, and that for six
months past even that unit has been running only part time. I believe
that in this action lies the solution of the present problem of flour
milling. For ourselves, we believe we will make more money with the
single unit that we would be undertaking to keep both plants going, »
Sound doctrine without a doubt, not only for this year vrith its limited
wheat crop and probable severe reduction in export outlet, but for every
year in future. The theory that it is only by maximum activity that a
flour mill can be made to earn a profit has long been on the wane, and
doubtless will soon be entirely abandoned. Heretofore, it has been the
practice of an undoubted majority of millers to base cost on theoretical
full-time operation, although few of them ever produce at that rate for
more than a few months of each year."
«
French Foreign Exports from France exceeded imports by 451 million francs during
Trade the month of July according to figures compiled by the French customs
autiorities and transmitted to the Bankers Trust Company of Uew York by
its foreign information service. Exports for the month were 3,484,373,-
000 francs and imports were 3,033,549,000 francs. Exports show a decrease
of 22,161,000 francs over the month of June but are nearly 500,000,000
francs higher than for Jvly 1924. Imports are 42,306,000 francs higher
than in June of this year and roughly'; - 33,000,000 francs lower than in
July 1924. For the first seven months of 1925 France's favorable trade
balance amounts to nearly three and a quarter billion francs.
German Grain An editorial in The Northwestern Miller for September 2 says:
Tariff "Recent advices from Germany indicate that the new tariffs, including the
high duty on grain and the probably prohibitive one on wheat flour, were
adopted only after stormy scenes in the Reichstag. Herr Luther, in pro-
posing the new tax measure, was frank in stating that the exact effect of
the higher tariff on domestic prices could not be predetermined. He ad-
mitted that large sections of the population were suffering as the result
of the high cost of living, but, with nearly every country in Europe striv-
ing to upbuild its own industries through high rates of duty on imports,
he saw no other course open to Germany. There is, of course, little
ground to question the truth of this as a general statement. It is,
however, difficult to see just how it applies to the imposition of heavy
duties on the primary food, and even more difficult to accept it as justi-
fying so gross a discrimination against flour and in favor of wheat.
Vol . XVIII, I^'o- 59 - 4 ^ September 9. 1925 .
OTDviously, this is wholly in the interest of G-erman millers, "but equally
obviously the people will find it a heavy prjLce to pay for the presutned
future prosperity of the country's milling industry."
Louisiana Cotton A New Orleans dispatch to the press of September 8 states that near-
Marketing ly double the amount of cotton will be handled this year, as compared with
last, by the Louisiana Farm Bureau Cotton Growers' Association. The pur-
pose of this association is to prevent the dumping of cotton, to secure its
orderly marketing at the best prices. It is expected between 40,000 and
50,000 bales of cotton will be handled by the association. Fifteen cents a
pound is advanced to members as soon as their cotton is turned over to the
organization.
Onion Seed A Laredo, Tex., dispatch to the press of September 8 states that an
Control effort on the part of speculators to control the Bermuda onion seed crop
of the Canary Islands met with failure, and the Texas growers of the
odoriferous bulbs have been able to purchase from T. M. Reid, of London, a
sufficient supply of seed for this season's planting purposes. One ship-
ment of 16,000 pounds of Bermuda onion seed has just arrived here from
Teneriffe, Canary Islands. It is sufficient to plant 5,500 acres.
Road Improvement An editorial in The Washington Post for September 8 says: "More
than a billion dollars will have been spent in the construction of rural
highways in the United States this year and it is estimated that the ex-
penditures next year will exceed this sum. Considering that far the great-
er part of rural road improvement in this country has come since the war,
the progress made in the last fe?7 years is almost amazing. What is more,
it gives promise that within the next ten years America will have the most
coii5)lete system of highways that any country has ever known. It also en-
courages the belief that the character of roads to be constructed in the
future will be vastly better than now in existence, and that the time is .. V
not far distant when the highways will be of such width that the danger of
acciients in motor traffic will be greatly lessened. Some enthusiastic
road experts foresee the time when the highways will be so constructed
that there will be separate roads for freight an.d passenger traffic, and
one-way boulevards separated into four lanes in each of which the traffic
will always be going in one direction. Such a system would minimize the
number of accidents and expedite business. The time also will come, some
believe, when the highways will be so lighted that travel at night will be
almost as safe as in the daytime »
Russian Eggs A Berlin dispatch to the press of September 8 states that importa-
to Germany tion of large shipments of eggs from Eussia is imminent. A Berlin syndi-
cate has concluded a reciprocal agreement with the Russian Society of
Bread Products by which the German syndicate is guaranteed shipments of
Russian eggs valued at 70,000,000 marks. During the present year 600 car-
loads of Russian eggs will be imported into Germany, while next year the
shipments will be increased to 2,000 carloads and in 1927 to 2,700 carloads.
iheat Market "Financing the Marketing of Wheat" is the title of a lengthy arti-
Financing cle by John M. Chapman in Harvard Business Review for July. In this
Mr. Chapman says: "Under pre-war conditions the task iinposed upon the banks
was a large one, but under post-war conditions the burden placed upon the
banks has been greatly increased. The failure of the farmers to realize
profitably upon their crops has made it necessary for the banks, in some
vol. XVII I. No. 59 - 5 - ^ September 9, 1925.
grain ser^.tions of the country, to \ise every available means at their coni'-
mand to ^ave not only the growers b-at the banks theaselves. These efforts,
in njany cases, did not prevent latge losses and even bankruptcy for both
banks and growers ^ The economic Conditions of the wheat producers and the
local banks supporting them had become sc Serious that many efforts, both
on the part of the G-ovemment and business men, have been tnade to improve
the status of the producers. The federal Government passed a law provid-
ing for the United States Grain Coiporation, which was intended to grant
seed loans to farmers in the "Northtf^est. The Agricultural Credit act,
passed March, 1923, was to provide short-teim intermediate credit for the
producers. Many States, during this period, passed cooperative marketing
laws. As a resiilt of this legislation, many cooperative associations and
other private organizations were formed to improve marketing methods or to
provide financial assistance for the growers. A ten-million-dollar corpora-
tion was formed in Minneapolis to assist in financing the banks and, through
them, the farmers. Although progress has been made, much remains to be
done before the production of wheat is placed on a satisfactory basis. A
complete study of wheat financing would involve a discussion of the sources
and amounts of fixed capital needed by the farmer for buying his farm and
equipment, as well as the short-term or working capital to provide seed,
fertilizer, labor for planting, cultivating, harvesting, and marketing the
crop. This would include a description of the needs and methods involved
in financing the growers, the millers, the elevators, the grain dealers,
the coiDniission men, the cooperative marketing associations, the exporters,
and other middlemen. This paper deals with the problems involved in
finarcing the crop after the wheat has been delivered to the country eleva-
tor or warehouse bjf the growe". This includes the payment to the grower :.
for his crop."
^ . ^ Section 3
Department of
Agriculture An editorial in Kansas City Drovers Telegram for September 4 says:
"The new departure by the United States Department of Agrirulture into the
real IS of price forecasting was a natural outcome of the new departure
. into the realji of crop forecasting. The helpfulness of these two new func-
tions of the apartment to the agricultural industry is yet to be demon«-
strpted— if it can be demonstrated. It is declared by those officials re-
sponsible for the 'intention to plant* and the » intention to breed* plans
of forecasting grain and livestock production that such knowledge gives
the farmers a chance to increase or decrease production as seems advisable,
based on the forecast of excess or subnormal production, and that thereby
this knowledge acts automatically toward standardization of production,
Eowever, it is yet to be demonstrated that publication of such pre-crop
information will not change the minds of farmers sufficiently to cause a
shortage of yield where an excess was indicated, and an excessive yield
where a shortage was indicated. Any way, the latter is more in keeping
with human nature. But baneful as may be this departure of predicting
crops in influencing fanners to change their minds to their own possible
undoing, it has not so great a field for financial destructiveness as the
latest scheme of forecasting prices. Ho market agency, market newspapers,
commission men, bankers, or economists, ever have had the nerve to invade
the field of price forecasting. It is too fraught with disaster both to
the prophet and the party accepting and following the price revelation. 3\\t
the Government isn^t afraid of it because the Government isn't responsible.
The Government would go right along in the business of forecasting, immune
from attack, even though a million farmers were to go broke in a single
Vol.Xiail, No._59
- 6 -
SeptemTjer 9. 1935_^
season "by following the theory of the wise men of Washington. . . -Theor;>'- nev-
er works out as it is expected to when econoinic conditions are in opposi™
tion. It is easy for a Governrr.ent er'^loyee to sit in Washington and fig-
ure what the market ought to do cased on what the supply figures show, hut
Simply "because he is a Government ag3nt is not sufficient excuse for h'jm
to unload his theory on the farmer in an effort to influence the farmer in
his "business or farming deals,...."
^^^BHji Section 4
^^^^ mEKET qUOTJ^TIONS
Farm Products Sept. 8; Grain prices quoted September 8: l'Io.2 red winter Chicago
$1„71; St. Louis $1.73 tc $1.76; Kansas City $1.70 to $1,71. No. 2 hard
winter Chicago $1,55 1/4 to $1,57 l/2; St. Louis $1.58 to $1.60; Kansas
City $1.56 to $1.65, No. 2 mixed corn Chicago 98 3/4 to $1; Kansas City
93r/. No. 2 yellow corn Chicago 99.-; to $1„00 1/4: St. Louis $1 to $1.00 l/2;
Kansas City 99 l/4^. No.o yellow com Chicago 97 l/2 to 99^; No. 3 white
corn Chicago 97 3/4 to 99^; No. 3 white oats Chicago 39 to 40 l/4/;
St. Louis 40 1/2 to 41^; No. 2 v.hite oats Kajisas City 41j^.
Chicago hog prices close'l at $13 =.25 for the top; hulk of sales $11
to $13,10; medium and good heef steers $5. .90 to $14,50; butcher cows and
heifers $5,40 to $12.50; feeder steers $6e50 to $8.65; light and medium
weight veal calves $10.50 to $13^25; fat lambs $14 to $15,85; feeding
lambs $13.75 to $15,75; yearlings $9c75 to $"12,75; fat ewes $4.50 to
$3,25.
New York cabbage, domestic Round type, sold to jobbers in eastern
markets at $25 to $35 btuk per ton and at $?i.7.50 to $20 f.o.b. Rochester.
Maine Irish' Cobbler potatoes, sacked and bulk, "brought $2 to $2^15 per
100 pounds in eastern cities% New York and Massachusetts yellow onions
ranged $2 to $2.75 per 100 pound sack in the East. Virginia yellow sweet
potatoes mostly $4 to $4.75 per barrel in leading markets; $3,75 to
$3.90 f.o.b. East Shore points. New York apples, Wealthys, sold mostly
aroTOid $1.25 to $1,50 per bushel basket in eastern markets; $1 f.o.b.
Roc] ester.
Middling spot cotton in 10 designated markets advanced 55 points,
closing at 22-58^ per lb. New York October future contracts advanced 60
points, closing at 22.995^. (Prepared by Bu. of Agr. EconO* "
Industrials and Average closing price Sept. 8, Sept. 5, Sept, 8, 1924
Railroads 20 Industrials 140.86 141.30 101.26
20 R.R. stocks 101.58 101.53 89.07
(Wall St. Jour., Sept. 9.)
Prepsred in. the United States Department of Agriculture for the purpose of presenting ail shades of opiHion m
reSected in the press on matters aJfcctiog agriculture, partioalarly in its economic aspects. Kesponsibility, approval
or disapproval, for ■^ie^vs and ppiuions qcsoted io exp?«>ssiy discMmed. Th& intent is to reflect accurately the
news of importance.
Vol. XVIII» No. 60 Section 1 SeptemlDer 10, 1925
AGEICULTURAL A Swairpscott, Mass., dispatch to the press of September 9 says:
COIIFEREUCE "President Coclidge is -withlicl d ing definite decision on a mmber of
important questions confronting the administration -until he can con-
sult with advisers in Tvashii.igton* One of the prchlems to "be dealt
with on the Executive's return to Washington is whether the agricultural conference
should "be reconvened to complete its survey of the farm problem. Mr. Coolidge is
of the opinion it should be given opportunity to draft fine-1 recommendations to
Congress, but is awaiting the view of Secretary Jardine as to whether the step is
advisable "
TAX CUT DISCUSSED A Swampscott, Mass., dispatch to the press to-day sayst
"President Ccoj.idge's last day here was marked by cheering news from
Nicholas Longworth of Ohio, who will be the next Speaker of the
House of Representatives, Kr. Longworth told the President that the next Congress
would reduce the taxes between $350,000,000 and $400,000,000, and that this would
be done before Christmas, in tim.e to make the reductions effective on the 192,4 in-
comes returnable on March 15 ne..Tt."
COTTOl BODY TO 'A Poston dispatch to the press to-day announces that the
MEET National Asscciat ?,cn of Cocton Marufa'.7turers wil'.L hold its ann:aal
meeting in that cxi;y on October 14 and lo. Prf-s:;.o.en.t Morgan Butler,
of Boston, will pr'Esicle and Francis Vernon Willey, president of the
British Federated Industries and former Member of Parlisment, will speak at the an-
nual banquet on the evening of the final day.
EOOT AND MOUTH A Houston, Tex,, dispatch to the press to-day says; "Officials
DISEASE of the hoof and mouth quarantine faced more work September 9 as a
result of a new outb7e;sIc of the disease on Tuesday on the Molk
Dairy Farm between Park Place and Harris"burg, involving eighty cattle
and causing a further extension of the closed quarantine area. Preparations are
being made to slaughter the cattle. A'il roads in the restricted areas, except the
main G-alves ton-Houston highway, will be closed nightly beginning to-^day."
TRACTOBS IN A Moscow dispatch to the press to-day says: "Gradually the
RUSSIA American trar.!:cr is making triutrrphant progress in Russia, Up to 1914
there had befn "^-Dp:rrfced into RuSo^a only about fifty tractors. At
the beginning of t'rds year the Government hed brought its purchases -
up to 4,835. The importing program for this year provides for the purchase of an
additional 5,000."
/
Vol_.XVIII._lio>_ai -2- September 10, 1925.
■ Sectioln 2
itish Agr\- An editorial in Country Life (London) for August 29 says: "The
cxalture index of current agricultural conditions is generally accurately reflect-
ed in the livestock and cropping returns rhich are taken every June. The
figu:..*es for 192b have just "been issued, and their significance is well
worth noting. In accordance with expectations, there lias been no diminu-
tion in the practice of laying down arable land to grass. The fruits of
war-time toil and expediency have long since disappeared, and by a de-
cline of 249,000 acres during the year, the arable area is now 318,000
acres less than in 1914. This is a position sufficiently grave to war-
rant the attention of the Government, if only out of consideration for
the national security and the ma^ntenaroe of a healt}^ and contented
rural conmunity. So far as the arable returns are concerned, there are
few bright features. In only a few instancos have marked crop increaseL
occurred. Thus, the sugar-beet crop shows a satisfactory development, in
that, with an acreage of 54,700, it is more than double that of 1924.
The area occupied by potatoes is 493,000 acres, a 9.1 per cent increase,
but it does not necessarily indicate that a reduction in prices will oc-
cur, as \i\ some areas the crops are partic alar'Ly light. In the case of
r,ll the other fann crops, with the exception of barley, hops, Brussels
sprouts and temporary leys, decreases have been recorded. In turning
from crops to stock, there is a brighter sit-iation, though here, again,
there are disqaietii-g features. The profitable nature of cattle and .
sheep breeding is well established in the returns. Considerable in-
crer'ses have taken place in every section of these two classes of stock.
Thp increase in cattle has been common to all counties, and it is par-
ticularly interesting to note' that in Cheshire there are more dairy
cattle th?n in 1923, which was the year when so many good herds were
wiped ou^- by toot-and-mouth disease. With a total of 6,163,300, cattle
are over the ,d re-war n-smber, and have increased by 269,000 since last
year. Sheep oreeding saffered greatly during the war, and it is particu-
larl;- welcome to note -chat the atte'apts to regain the pre-war level are
well maintained. Thus» iit this section the greatest increase of all is
recorded. Ar increase of 1,131,300 over the 1924 figures brings the
total up to 15,87<.,000. In the pig ^,orld there has been a. set-back. Tne
?.924 level, which cont:tituted a record, has not been maintained, A re-
duction of 585, oOO makes the total 2,545,000 The least satisfactory
feature in Eritish stock bre'^ding is the decline of interest in horse
breeding. If the figu.res are to be utilized as they are intended tc be,
several unpleasant inferences are to be drawn from the fact that there
are only 44,800 foals this year, which is well under half the num'irer bred
in 1914. If double the member was necessary in 1914, then, even allow-
ing for the reduction in th3 arable portion and the increase in motor
transport the present rate of breeding is likely to cause a shortage of
farm teams before long. The total number of agricultural work horses is
773,100, an'^. this is only 18,000 less than in 1914, but it is in the un-
broken horses and foals that the shortage occurs."
Com Borer in An editorial in Ontario Farmer for September 5 says: ^Investiga-
Canada tion and quarantine to the contrary, the European com borer is continu-
ing to increase in numbers and to spread to new areas every year. Reports
from Essex and Kent Counties tell of com fields where every stalk is
riddled by a dozen or more of theae caterpillars. During the past month
several prominent farmers of those counties have stated that they are
Vol. XVI II. No. 60
- 3 -
Septem"ber 10. 1925.
through with com->grawing imtil the borer is SuppreBSeij as to grow corn
and fight "borer at the same tiT..e takes too heavy a, ioll of the lahor
supply. Such a condition, r^-iached in sujh a s} ore space of tiine» (for
it is a comparatively short tirne since tLe h6rer was first acc- dentally
introduced into Ontario) is i--!ally alafni: g. . . -If the corn crop is not to
be utterly doomed, pressure rr^-St be brought to bear more forcibly upo::
the negligent. As it is a physical impossibility to have every farm
inspected to see that any rtt a.?^.tion, =;ncxi as the plowxng under or beam-
ing of old stalks and stubble is being tl-orou>hly carried out, it is
our suggestion that the growing of corr in thci corn borer quiarantine area
be prohibited for at least one, or perhaps two or three years, according
to ^-he decision of the entomologists in charge Ox corn "borer investiga-
tion. ..,7 3 realize that fiuch s move wor.ld be Vory drastic, and could not
be undertaker without giving the Province at lep'^-t one year's notice."
European J, Walter Drake, As'^istai.t Secretary of Commerce, just back from
Conditions a trip throm^h Europe, where he made a study of economic conditions af-
fectirg American trade, said •*'0 re-:resGntatives of the press, September
3, that he fo-':ind unmistakrble appearance of fundamentally improved con-
ditions in Europe. Mr. Drake visited Jreat Britain, France, Belgium,
The Netherlands, Germany, Switzerland <ud Italy. "Generally speaking
the agrr cultural population i... all employed," Mr. Dra^-e said, "with good
prospects fo* successful results this year. In the indus«rial field,
while it is apparent that progress is being made, particularly in some
localities, yet as a whole there is nothing that sho-'ild cause the Imeri-
cin business man to be stampeded into the fear of European competitiicn.
Typical American prod-jctlon methods have been copied to a somewhat lar^
er extent than formerly, it is true, but there are many reasons why
European countries can not compete in a productive way with American
industry...."
Immigration An editorial in l-he Journal of Commerce for September 9 says:
Facti; "Our immigration records for the fiscal year ended June J?0, 1925, the
first full year of the operation of the existirg immigration act, are
well worth some careful thought. To tho thoughtfu"". elements in the pop-
ulation the statistics thus presented, partictilarly ;7hon coupled with
the rather evident intention of the American Federation of Labor to go to
further lengths if it can in excluding foreign labor, certainly suggest
some very real dangers. The pertinent facts are: ToLal inoomin/; aliens,
294,314; total departures, 92,728, leaving a net influx of ali'=~.n3 of
201,586. Net inflow of 42,422 skilled laborers, as compared with
143,616 during the preceding year. Net farm labor immigracion 14,762,
as compared with 27,233 during the year before. I^et loss in unskilled
laborers 15,106, as compared with a gain rf 70,742 during the previous
twelve months. There was a substantial net outflo^^ of peoples to '-south
and southeastern Europe, including departures t ) Italy of nearly 21,000.
Some 130 ,193 persons over and above departures came in from Mexico and
Canada, neaijy two- thirds of the total net inflow of aliens. Of course,
in view cf these facts and figures, the evident desire of organized Amei^-
ican labor to find a way to curtail the flow of workers from Msxico is
clearly explicable. — These workmen are 'without nigh standards of living,
just as many cf the 'meaner peoples ^ of Europe, and if they become num-
erous enough could without murh doubt become, if indeeu they have not on
occasion already become, a thorn in the side of union officials."
■ /
' ■' .... ' • . . . .
Vol. XVIII. Uo> 60
- 4 -
September 10, 1925.
Irish Fann An editorial in The Farmers' Gazette (Dublin) for August 25 sagrs:
Conferences "It is good for farmers to hold counsel together. The discussions
which have taken place during the past week "between delegates from
Farmers' unions established in widely sundered counties point to a degree
of unanimity that augurs well. The recommendations made regarding the
cultivation and the marketing of the three chief cereal crops may not
commend themselves to the powers that be, but they, at least, ventilate
the grievance of corn growers, who, through foreign competition or other
cause, are filched of the return to which their expense and trouble en-
title them. At this stage we do not propose to say anything for or
against the policy, of subsidies, or a guaranteed minimum price for barley.
Farmers in England, laboring under the same difficulties, are in equal
perplexity as to the best means of getting a way out. It is enough that
here in Ireland farmers are at last beginning to find themselves, and to .
realize that the industry by which they live needs safeguarding. . . -Our
position at the present is neither to commend nor object. The chief
feature of congratulation is that the voice of the farmer is no longer
inarticulate, and that the farming element more and more realize the
claim they have to be considered, both in respect of shelter from outside
competition, as well as from the pressing burden of internal taxation."
South African The South African Cotton Growers' Journal for August says: "It is
Cotton but fitting in an annual n-umber such as this that reference be made to
the importance of the development of cotton growing within the Empire, of
which South Africa is a component part, and as is also Ehodesia. This,
in fact, should be a slogan—* 'Cot ton growing within the Empire'— which
should be used by every lover of this country. The reason is obvious. As
inter-trade relations develop between the various countries of the En>-
pire, there foms that band which none can sever. .Financial assistance
is ready for this country; of that we know. Encouragement has been given
both by the Empire Cotton Growing Corporation and the British Cotton
Growing Association. All the Departments of the Home Government con-
cerned with South Africa and Rhodesia have lent their aid, and we are
assured of further support,"
Section 4
Department of The Manchester Guardian, in its annual review of the American
Agriculture cotton situation, discusses the work of the private experts in esti-
1 mating the crops. .-Its conclusion regarding the work of these private
experts/ is that, "'in view of the erratic performance of the United States
Department of Agriculture in showing crop progress and in estimating
yield, the private reporting agencies would render the trade more valua-
ble service if they had laid more emphasis on reflecting conditions actu^-
ally prevailing than on trying to foreshadow the official returns. There
is not the slightest doubt that the trade as a whole would be infinitely
better off if the private reporting agencies reduced their activities by
at least 50 per cent.*"
2 The Sioux City Live Stock Record for September 5 says: "It has comq
to the point where the country is beginning to wonder whether the United
States Department of Agriculture was created to encourage or discourage
the production of crops and livestock. Certainly most of the recent
bulletins given out by the department have been const arued as warnings to
f aimers not to grow so much corn and wheat, sq many sheep and hogs, says
the Omaha Journal-Stockman. In its September report, for instance, the
Vol. XVIII. Uo. 60
- 5 -
September 10, 1925.
department warns the country that 'prevailing high prices for crops and
livestock may take a sharp reduction if too rapid expansion in produc~
tion takes place' and fa.rmers as well as livestock producers are solemnlj;
assured by the department that 'the present bonanza of high prices is
due solely to poor yields and not to increased demands.' Fortunately
fanners and stock growers pay little or no attention to the sage advice
handed out to them. If they did, the confusion in the country, the
demoralization of markets and the uncertainty of values would be simply
intolerable "
Section 4
Iv!A.EKET qUOTATIOlTS
Faim Products Sept. 9: Closing prices on 92 score butter: New York 47 j^; Chicago
45}^; Philadelphia 48^; Boston 46 l/2^.
Little change in prices was noted in the apple markets during the
week. Jobbing range on Eastern wealthys was around $1 to $1.50 per
bushel basket, with f .o.b. trading at $1 in Rochester. Sweet potato
prices was downward. Yellow varieties from the East Shore of Virginia
ranged mostly $4 to $4,75 per barrel in city markets, top of $5 in
Cincinnati; $3,50 to $3.75 f.o.b. Onions "held about steady, yellows from
leading sections jobbing at $2 to $2.75 per 100 pound sack. Potatoes
unsettled. Northern sacked Round Whites sold on the Chicago carlot market
at $1.85 to $2 per 100 pounds. Maine Irish Cobblers ranged $2.15 to
$2.40 in the East with Long Island Green Mountains at $2.35 to $2,50.
New York and Delaware Concord grapes held steady at 75^ to $1 per 12-
quart basket in eastern cities.
Chicago hog prices closed at $13»10 for the top and $10.90 to
$12.90 for the bulk. Medium and good beef steers $7 to $14.50; butcher
cows and heifers steady at $3,60 to $12.50; feeder steers $6-50 to $8.75;
light and medium weight veal calves $10.50 to $13.50; fat lambs $14 to
$16; feeding lambs $14 to $15.85; yearlings $9.75 to $12.75 and fat ewes
$4.50 to $8.25.
Grain prices quoted September 9: No.l dark northern Minneapolis
$1.53 to $1.70 1/2. No. 2 red winter St. Louis $1.73 to $1.75; Kansas City
$1.71, No. 2 hard winter St. Louis $1.60 l/2 to $1.61; Kansas City $1.51
to $1.64. No. 2 mixed com Chicago 98 to 98 3/4/; St, Louis 97 I/2/;
Kansas City 93 l/2 to 94/ . No. 2 yellow com Chicago 98 l/2 to 99 l/4/;
St. Louis $1; Kansas City 99 I/2/. No. 3 yellow com Chicago 97 to 98/;
Minneapolis 94 l/4 to 94 3/4/; No. 2 white corn St. Louis 98/; Kansas City
94/. No. 3 white oats Chicago 4o/ to 40 l/4/; Minneapolis 37 3/8/ to
37 7/8/; St. Louis 41 I/4/; No. 2 white oats Kansas City 42 I/2/.
Middling spot cotton in 10 designated spot markets advanced 35
points, closing at 22.93/ per lb. New York October future contracts ad-
vanced 31 points, closing at 23. 30/. (Prepared by Bu. of Agr. Econ.)
Industrials and Average closing price Sept. 9, Sept. 8, Sept. 9, 1924
Railroads 20 Industrials 142.40 140.86 101.98
20 R.R. stocks 102.75 101.58 89.89
(Wall St. Jour., Sept. 9.)
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